Mainebiz

V O L . X X X N O. V I I A P R I L 1 , 2 0 2 4 22 B A N K I N G / F I N A N C E / I N S U R A N C E F O C U S "Branch openings and closures result from at least two important factors — market opportunities and consolidation," says Jim Roche, president of the Maine Bankers Association in Westbrook. "If, for example, a northern Maine bank is looking to bet- ter serve existing customers or grow their customer base, then a southern Maine branch may make sense. at helps explain why, for example, 17 banks now serve customers in Portland." Altogether, Maine has 29 banks doing business here with 442 offices and $42.75 billion in deposits, according to Federal Deposit Insurance Corp. data through June 30, 2023. Across those banks, the number of offices — headquarters, branches and operation centers — has remained steady over the past few years. Roche points out that, even with all the appar- ent changes in banking, the number of branches in 2022 was 446 and the number in 2021 was 443. "So, the number has remained steady for several years," he says. Ongoing evaluations At Androscoggin Bank, which has $1.54 billion in total assets, the transitions are part of ongoing evalu- ations of customer needs. e bank's Portsmouth expansion responds to exist- ing clients who said a presence there would be helpful. It also provides geographical diversity to help broaden the organization's market, while remaining close to its Maine-based headquarters, says Kiely. e new Guilford office is viewed "as an opportunity to deliver banking services in a unique way," he continues. Additionally, the bank's experience has been that the talent pool for experienced and knowledgeable banking employees in the region is strong, enabling Androscoggin to attract and retain employees who can aid clients across the organization's footprint. Androscoggin Bank is a certified B Corporation, a designation awarded to businesses that have elected to broaden their mission beyond financial profit to include making a positive impact on soci- ety and the environment. e organization, says Kiely, views the Guilford office as a non-traditional, collaborative approach designed to bring new banking services and business development resources to an under- served market. As such, he says the branch is an example of the B Corp values at work — "being responsive and agile especially when opportuni- ties have a positive effects on our client, commu- nity and colleagues." Stepping out Kennebec Savings Bank, founded in 1870 and head- quartered in Augusta, has undergone several transi- tions since 2017. at was the year the bank opened a branch in Freeport — and it was the first time in the bank's 150 years that it stepped out of Kennebec County. Freeport opened initially as a loan production office. It opened as a full-service branch in 2019. "We had done quite well," says Andrew Silsby, the bank's president and CEO. In 2021, Kennebec Savings — by then with loca- tions in Augusta, Farmingdale, Freeport, Waterville and Winthrop — merged with the similarly named Kennebec Federal Savings, which had two branches, both in Waterville. e merger resulted in the consolidation of two of the three Waterville branches. ACCESS COLLABORATIVE LENDING SOLUTIONS: Expand Your Loan and Lease Offerings for Ag & Forestry Clients Agri-Access specializes in secondary market financing for agriculture, aquaculture, forest products and rural land, providing capital for community banks across the nation. Visit our website at agri-access.com Matthew Senter Vice President – Lender Relations Phone: 507-810-0837 matthew.senter@agri-access.com » C O N T I N U E D F RO M P R E V I O U S PA G E The industry is scratching its head: What does the customer want? We're all trying to figure out the future of the branch. — Andrew Silsby Kennebec Savings Bank

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