Oklahoma City-based First Fidelity Bank, a locally owned, full-service community bank, has announced the purchase of Sunrise Bank of Arizona, based in Phoenix, Ariz.
First Fidelity Bank will assume all deposits of Sunrise Bank of Arizona, which had six branch locations across the Phoenix area and more than 5,000 customers. Those customers will automatically become depositors of First Fidelity Bank and are immediately able to take advantage of First Fidelity Bank products and services.
“We are very excited to be able to expand our services to more clients through this acquisition,” said Lee R. Symcox, president and CEO of First Fidelity Bank. “We have operated our own branches in Phoenix and Scottsdale and are very familiar with the market. We know that our new clients will be pleased with our service offerings, including unmatched treasury services and remote deposit for businesses.”
The Arizona Department of Financial Institutions closed Sunrise Bank of Arizona on Aug. 23, 2013 and appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with First Fidelity Bank to assume all of the deposits of Sunrise Bank of Arizona.
The six branches of Sunrise Bank of Arizona will reopen as branches of First Fidelity Bank during their normal business hours. Sunrise Bank of Arizona deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship in order to retain their deposit insurance coverage up to applicable limits.
Customers of Sunrise Bank of Arizona should continue to use their existing branch until they receive notice from First Fidelity Bank.
As of June 30, 2013, Sunrise Bank of Arizona had approximately $202.2 million in total assets and $196.9 million in total deposits. In addition to assuming all of the deposits of the failed bank, First Fidelity Bank agreed to purchase essentially all of the assets.
Customers with questions about the transaction should call the FDIC toll-free at 1-800-430-7974. The phone number will be operational on Monday from 8 a.m. to 8 p.m., MST; and thereafter from 9:00 a.m. to 5:00 p.m., MST. Interested parties also can visit the FDIC’s website at http://www.fdic.gov/bank/individual/failed/sunrisebank-az.html.
The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $17 million. Compared to other alternatives, First Fidelity Bank’s acquisition was the least costly resolution for the FDIC’s DIF. Sunrise Bank of Arizona is the 20th FDIC-insured institution to fail in the nation this year and the third in Arizona. The last FDIC-insured institution closed in the state was Central Arizona Bank, Scottsdale, on May 14, 2013.