Bangor, ME (June 15, 2020):
Continuing its upward trajectory of growth, Bangor Bancorp, MHC, and its subsidiary, Bangor Savings Bank announced it ended Fiscal Year 2020 with $4.86 billion in assets, a record increase of 9.38%, and grew its net income by almost 7% to $35.4 million. The results were released today at the Bank’s Annual Meeting of Corporators.
“We had another strong year thanks to the hard work and commitment of our employees and to our customers and communities who have placed their trust in us. Our goal is to help our employees, customers, and communities achieve their version of better,” said Bangor Savings Bank president and CEO Bob Montgomery-Rice. “Our credit metrics remain strong placing us in a very solid position for the future while we continue enhancing our footprint across northern New England. Our employees are committed to creating the best experiences for our customers and putting people first.”
Among the FY 2020 highlights, Bangor Savings Bank:
- Finished the year with 227,000 customers, an increase of 8,000 from FY 2019
- Opened 36,000 new core deposit account and nearly 5,000 new business accounts
- Produced $1.38 billion in loans, bringing 5-year loan production to $5 billion
- Increased net income to $35.4 million, a growth of 6.95%
- Recorded nearly 4,000 business clients using its payroll services and 3,500 customers using its merchant card processing services
- Donated more than $2.5 million in giving
“We pride ourselves in being a local, community bank,” said Montgomery-Rice. “At the heart of all we do is our commitment to ensure each and every customer receives an experience where they feel they truly matter more, and ultimately achieves economic prosperity. The focus on our communities, along with the nimbleness of our employees, has allowed us to navigate the pandemic and provide all our customers and small businesses the support they need during this very difficult time.”
The Bank completed its first year on the Bangor waterfront campus in FY 2020, announced a $35 million merger with Damariscotta Bank & Trust (expected to take effect this summer) expanding Bangor Savings Bank’s footprint to more fully serve customers throughout the mid coast Maine region; a new branch was opened in Auburn, ME and two New Hampshire branches were announced for Manchester and Concord, with both opening later this year. The Concord location will house our new Wealth Management office.
Total loan production during the year was $1.38 billion, bringing the cumulative five-year total to $5 billion. Bangor Savings saw a record $724.51 million in residential mortgage loan production, while commercial and small business loan production jumped 31% ($107.57 million) to $454.60 million. Bangor Savings was named the top lender for first-time homebuyers by MaineHousing for the 12th consecutive year and it maintained the FDIC’s highest “outstanding” rating for lending, service, and investment for the last 15 years.
Investing in Innovation
Bangor Savings Bank’s proprietary Buoy Local program has helped nearly 2,000 locally owned businesses reach new markets with thousands of shoppers participating. Innovation and entrepreneurship are foundational to the Bank, which is committed to supporting like-minded initiatives from organizations, such as Greenlight Maine, Junior Achievement, Scratchpad Accelerator and the Roux Institute, among others across Northern New England. Serving as mentors and champions for the business leaders of tomorrow is the Bank’s way of investing in the future.
National and International Recognition
For the second year in a row, Bangor Savings was named one of the “World’s Best” banks by Forbes,
which gave a ranking of #9 in the U.S., making it the only Maine-based bank to crack U.S. list of best banks. In FY 2020, Bangor Savings was also named #1 in New England by the J.D. Power 2020 U.S Retail Banking Satisfaction Study, the fifth time in the past six years.
In FY 2020, more than $2.5 million was collectively donated to Maine and New Hampshire communities by Bangor Savings Bank and the Bangor Savings Bank Foundation; these investments went toward sponsorships, grants, and partner initiatives. The total includes the 13th annual “Community Matters More” grant-making program, which saw more than 45,000 votes cast by community members who determined the top causes to receive grant support from the Foundation. Since its inception in 2007, the “Community Matters More” program has distributed almost $1.5 million to more than 500 organizations. Additionally, the Bank’s nearly 1,000 employee workforce volunteered 13,500 hours to support hundreds of causes throughout Northern New England.
While much of the Bank’s pandemic activity and impact occurred after Fiscal Year 2020 closed (March 31), it’s worth noting how Bangor Savings Bank impacted businesses and communities.
The Bank’s investment into technology enabled it to respond rapidly to the pandemic by transitioning bank operations, modified branch service, and enabled more than 650+ employees to work from home seamlessly. The Bangor Savings Bank team worked around the clock to deliver much needed Small Business Administration’s Paycheck Protection Program (PPP) loans, securing nearly $410 million dollars in economic relief through more than 4300 loans for small businesses in northern New England. This volume, largely processed over a series of weeks equates to more than 10 years of SBA volume.
Bangor Savings also donated $200,000 to Maine and New Hampshire nonprofits to help those who are suffering most from COVID-19. The gifts went toward food insecurity and to improve remote learning through broadband services and devices. The Bank also provided nearly 1,500 meals for essential workers in Maine and New Hampshire.
The 2020 Bangor Savings Bank Annual Report is available online