Editor’s note:
The following letter was sent to David Payne, the chairman, president and CEO of Westameria Bank.
Sir: I am appalled by your bank’s strategy for the Banco de Sonoma branch of your Sonoma Valley Bank acquisition. As you should know, the Sonoma Valley Bank created this branch to serve the Hispanic and non-Hispanic region of our community called the Springs area. Recently the branch’s hours of operation were reduced to noon to 4 p.m., Monday through Thursday and noon to 6 p.m. on Friday. No evening hours, no Saturday hours. Perhaps your market models tell you that the Hispanic and low/moderate income residents of the Springs area are expendable to you. I suppose your lawyers have also told you that the Community Reinvestment Act does not prohibit your actions. Maybe so or maybe not.
But these technicalities do not matter to me. What matters is what your policies say about your values and your commitment to our community. For twenty years I was very proud to be a member of the Sonoma Valley Bank as an account holder, mortgage holder and stockholder. I treasured SVB’s commitment to the economic and social development of Sonoma. I witnessed its long-run, flexible, intelligent attitude as it supported my projects and challenges. I was especially proud when the Banco de Sonoma branch was opened and largely staffed by capable Hispanic professionals. I valued the contribution the branch made to our entire community by providing friendly, convenient, and comprehensive banking services to Hispanic and non-Hispanic members of the Springs community.
By reducing the hours as you have, you appear to be working to drive customers away and make the branch unviable so you can shut it down. Maybe you think this is in your best interest. Well, there may be more at stake than you realize. Unless you reverse this decision, I will be moving all of my business and accounts elsewhere. Furthermore, I will be sending this letter to the area’s papers and talking many friends in Sonoma. I believe I will be joined by many others.
I urge you to respect the community that you have chosen to serve, consider the well being of Sonoma, and protect your long-run interests and your investment by reversing your policy immediately and strengthening your commitment to the Banco de Sonoma branch.
Roger Wright
Sonoma
Nicely written Mr Wright. I think Mr. Payne severely underestimated the solidarity and tenacity that Sonomans can exhibit when we get behind an initiative.
You know there is a certain “spirit” here and a reason California started on Sonoma Plaza declaring our Independence under The Bear Flag Revolt.
Mr. Payne also may be forgetting the impact CRA complaints can have on his overall CRA rating and the detrimental impact it can have the next time he tries to acquire another bank. CRA is the one regulation that actually has teeth and will stall and even prevent mergers & acquisitions dead in their tracks until the Bank successfully deals with the CRA infractions and settles with the disenfranchised community. His actions have cut deep and will require extensive reparations.
His move to limit the hours have effectively “closed” the branch. And what’s ironic is the Quarter-page ad I saw today in The Sun that said “we’re still the same friendly faces as before” and displayed the Sonoma Valley Bank logo.
Well part of the problem with Banco de Sonoma and even Legacy Sonoma Valley Bank is most (more than half) of the old faces ARE gone. So I see that ad as fraudulent and misrepresenting, frankly as offensive. I see some popular faces advertising in color ads for crosstown banks more than once a week. Other faces have been featured as they took new positions with competitors. Mr. Villasenor the former “face” of Banco de Sonoma has been sequestered to the Main branch and several of the other Bi-lingual employees have left or been transferred according to other voices within the Grassroots efforts connected to the Latino community. Our Latinos who Mr Villasenor built up a rapport and trust have been devastated and disenfranchised by the posturing and lack of service coming out of the Banco de Sonoma and these key relationships will not likely recover.
Mr. Payne may not appreciate the large volume of small deposit customers that our former Sonoma Valley Bank management tolerated but he is forgetting that is why SVB commanded 30-40% of the market share within the Valley. In his mind these accounts may not be “profitable” as the large accounts. But rest assured, Sonoma Valley is very unique and perhaps one of the most unique markets Mr. Payne will encounter in his footprint that stretches from San Francisco through Marin and Sonoma County, out the I-80 corridor to Sacto and down to Fresno/Bakersfield.
We still have a lot of time until the February 1, 2011 deadline when he makes public his decision on whether to officially close Banco de Sonoma and Glen Ellen branches. I’m still hopeful he will change his mind and instead reverse his decision and be the Leader I know he can be in The Springs and Sonoma Valley.
If not, The Grassroots effort already has plan B, C, D, E and F ready to roll out in formal appeals, protests, and far more outward expressions of our dissatisfaction.
Welcome to Sonoma, Westamerica Bank. Your “cookie-cutter” business models will not likely be successful here in The Valley. We like to look out for our own, ALL of our own and we get very disturbed when parts of our Valley get the “appearance” of being “Redlined” and your efforts disenfranchise large groups of businesses, residents, and areas within our Valley.
Its far more than just a business decision, its doing whats right, oh and yes…its the Law.
Excellent letter and comments.
Down with illegal and morally reprehensible
REDLINING !