Cincinnati-based Fifth Third Bank has been open for a little over a month in Savannah, tapping veteran banker Chris Kirkpatrick to lead its commercial lending efforts in the region.
The bank has about 32 locations in the state already, as well as a 12-state footprint that includes Florida, North Carolina and Tennessee. Fifth Third traces its origins to 1858 with the Bank of the Ohio Valley in Cincinnati, which was later acquired by the Third Bank of Ohio. A merger with the Fifth Bank of Ohio and Third Bank yielded its present-day moniker in 1908.
As regional president, Kirkpatrick, formerly with SunTrust, is charged with scouting for mid-range companies looking to grow or expand their businesses.
Savannah Morning News sat down with Kirkpatrick to hear a little more about the newest bank on the block and how he intends to grow their presence in a competitive market. Below are excerpts of that conversation.
Q: How long have you been in banking?
A: “I’ve been in banking for 13 years. I started in Atlanta, and prior to that, I was in the financial industry. I worked at the Chicago Mercantile Exchange and also an associate agent at Nationwide Insurance, so I think I’ve just always had a good feel for numbers.”
Q:What did you do at Suntrust and what lead you to Fifth Third?
A: “When I first came here (five years ago), I ran of team of business bankers and commercial relationship managers, and we serviced businesses from revenues of $1 million to $250 million. Then in 2012, I was asked to take over the Augusta market and Macon market and run those teams as well. ... (Fifth Third Bank) called me and there was some transition occurring at Suntrust, so the timing was perfect, but the core principals of Fifth Third really intrigued me. Starting out a new office in a market that I’ve been in for five years was really exciting for me, and Fifth Third’s thought process is to expand and grow.”
Q: Had you heard of Fifth Third before you made the transition?
A: “Yes, being from Lexington, Ky., Fifth Third was (headquartered) about 80 miles from where I grew up in Cincinnati.”
Q: You’ve said you’re looking for mid-range markets starting in the range of $50 million, what industries specifically are you looking at lending to?
A: “That’s not a hard break point, so there’s opportunity for room under $50 million because you have to think about all the companies that are above $50 million that were once below. So we’d like to start a relationship and grow with the business. In Savannah, you’ve got a very diverse economy ... the port, hopsitality and tourism and lots of manufacturing moving in. From manufacturers, distributors, retail restaurants, you name it, it’s kind of all over the board. There’s not one particular business we’re targeting. It’s open because this is a diverse economy.”
Q: What about commercial real estate and development, which has been on the rise here?
A: “Commercial real estate has kind of become a specialized activity for banks since the crash, so we have a commercial real estate group out of Atlanta that I could engage for something like the $200 million (Kessler) hotel in the paper this morning. We have those capabilities, even though I’m more focused on operating companies.”
Q: In the initial announcment on Fifth Third opening an office in Savannah, they mentioned growing their presence here. What is the timeline when you’re talking about going from one office to a full retail branch?
A: “My goal is to bring the different lines of business that Fifth Third has, which is consumer, mortgage, private wealth and obviously commercial, to this market. I think the timeline will be dependent upon my success and the revenue that I’m able to generate through client acquisition.”
Q: With the consolidation of regional banks occurring here, how many banks is too many for the Savannah market where you have 21 or 22 presently?
A: “I also spent some time in Memphis and Atlanta in banking and in Memphis, I think there was something close to 50 banks and in Atlanta I couldn’t even count how many banks there were, but it seemed to work. So I don’t know what the number is that would be too much for Savannah, and I think all the banks have a different philosophy and different appetite. One of the things I like about Fifth Third is they’ve gone into new markets like this and been aggressive in delivering creative solutions that maybe the current banking environment hasn’t delivered for certain clients. … There’s a different entrepreneurial feel with Fifth Third.”
Q: Using the pizza analogy, is it a case of banks carving up different-size pieces of the same pie?
A: “As you know from covering the industry, over the past few years, it’s been a take-away market. So the pizza hasn’t gotten larger, everyone has just tried to expand their piece of that pie, if you will. ... And I think you’re going to see continued growth in Savannah. The business leaders with SEDA and the Chamber are actively pursuing the manufacturers and bringing new business here. Look at the growth of Gulfstream, and this whole corridor from Charleston to Jacksonville has become an aviation corridor. I think that’s good for our future.”
Q: Fifth Third is the 13th largest bank in the country but new to some in Savannah. Have you had difficulty with name recognition?
A: “The first question I always get is, ‘Why the name?’ But having been here for a month and a half, you’d be surprised with how many people are familiar with Fifth Third in the Savannah market. … It’s been refreshing for me to talk with people in this community who are aware of it. We actually had several clients already here before I started, one of which I can share with you: SCAD. Even though I’m brand new, I think there’s actually some name recognition beyond what some people probably thought, myself included.”