California Bank & Trust Merger Puts Focus on People

Public Record, The, Jul 27, 2001

People who think mergers are about layoffs, de-personalized services and gains at the expense of customers, should think again. The integration of Eldorado Bank into California Bank & Trust (CB&T) is a contrast to mergers as usual. On July 9, CB&T completed its merger with Orange County-based Eldorado Bank, whose branches there and in San Diego, Riverside and San Bernardino counties and Sacramento have become California Bank & Trust.

CB&T now operates two banks in the desert: in Palm Desert at 73301 Highway 111 and in Indio at 81701 Highway 111.

While integrating more than 300 employees and 14 Eldorado branches doesn't happen over night, the process was easier for CB&T, itself born of a merger four years ago, followed by other acquisitions. Careful consideration was given to more than 38,000 new customers, many of whom are business owners, short on time and not eager to deal with hassles or headaches.

The good news is, they don't have to worry. Most employees jobs are secure, and only a few branches were relocated due to close proximity. In fact, very little has changed, as customers continue to see familiar faces on the teller line and the same officers who know and understand their needs. Customers now benefit from CB&T's greater financial resources and guiding principle of having decisions made locally by managers who know the market and can respond promptly.

"We're happy to welcome Eldorado customers and employees to the CB&T family," said CB&T President and CEO David Blackford. "Our successful record with previous mergers and a strong management team is contributing to a smooth conversion."

"CB&T has doubled its share of commercial bank deposits in Orange County and further expanded its presence in Southern California," explained Michael Patterson, senior vice president and regional manager of the bank's Orange County North Region. "This growth gives us even more financial strength and the ability to provide a diverse array of clients with greater flexibility, convenience and control in meeting financial goals. Customers will see more products and serivces, but they'll still feel the warmth of personal relationships that are a CB&T standard."

A flurry of activity preceded the final conversion,b ut customers are unlikely to have noticed. They see the same staff members and can sit down, as always, to meet with their banker. Branch associates go about their daily tasks, despite a new logo on the sign outside, and continue the bank's tradition of personal service without missing a beat.

As part of the integration, products and services of each bank were reviewed and a "best practices'' approach was taken in making final product line decisions. The overriding goal was to minimize disruption to the customer while expanding available options. In addition to the usual customer mailings, a myriad of merger-related customer communications was developed on topics ranging from safe deposit boxes and new account numbers to international banking.

To help ensure a smooth transition inside the branches, CB&T implemented its "Buddy System" among sister branches. This program, developed by CB&T during previous mergers, matches up managers, customer service managers and financial services representatives from Eldorado branches with counterparts at a participating CB&T branch. The program not only gives personnel hands-on experience, but also creates relationships between the associates.

Blackford emphasizes CB&T's principle of meeting financial needs in communities through local management, local decision-making and streamlined processes. The bank operates through divisions in Los Angeles, Orange and San Diego counties and Northern California. "Our structure allows for quick response and a local perspective," he said. "We share Eldorado Bank's philosophy and commitment to relationship banking. And we all believe in the importance of giving back to the community."

The March 30 acquisition of Eldorado Bancshares by Zions resulted in the merger of Eldorado Bank with CB&T. The merging Eldorado Bank branches are in Orange County (8), Encinitas (1), Carlsbad (1), San Bernardio (1), the Desert (Indio, 1, and Palm Desert, 1) and Sacramento (1), the latter branch doing business as Commerce Security Bank.

CB&T will integrate Antelope Valley Bank, the sister institution of Eldorado Bank that also was acquired by Zions, into the system on August 6. On that date, it will become Antelope Valley Bank, a Division of California Bank & Trust, and will continue to be based in Lancaster California.