First National Bank again the area market leader; Arvest moves up

First National Bank of Fort Smith continues its reign atop the market share leaderboard, with Arvest and BancorpSouth in a competitive fight for the No. 2 spot.

Figures recently released by the Federal Deposit Insurance Corp. (FDIC) show First National Bank with $690.79 million in deposits, or 16.96% of the market share as of June 30, 2009. The bank’s market share grew from a 16.65% share as of June 30, 2008.

Sam T. Sicard, a vice president at First National Bank, said the numbers speak for themselves.

“Not much change for us to comment on. We are grateful for the customers we have and will continue our commitment to serve our community,” Sicard noted.

Bentonville-based Arvest Bank moved into the second spot in market share with $471.9 million in deposits and 11.59% of the market. Tupelo, Miss.-based BancorpSouth slipped from second to third as of June 2009 with $463.83 million in deposits and 11.39% of the market.

“Our goal has never been to be the bank with the most assets, it was to be the best bank for our customers. We have been able to show sustained growth just by doing what we do everyday, which is provide great service, convenience and sound financial solutions,” said John Womack, president of Arvest’s Fort Smith region.

BancorpSouth issued the following statement about the market share switch: "Deposit growth is related to lending and investment opportunities, and we price our deposits accordingly.”

Rounding out the top five were Little Rock-based Bank of the Ozarks (7.21%; $293.56 million) and Citizens Bank & Trust in Van Buren(7.06%; $287.7 million), which is owned by Fort Smith-based First Bank Corp., the holding company that also owns First National Bank of Fort Smith.

Fort Smith-based Benefit Bank posted an impressive market share gain between 2008 and 2009. The bank boosted its market share to 3.93% in 2009, up from 3.42% in 2008. Benefit Bank had $160.22 million in deposits as of June 30, 2009, up more than 16% compared to the previous 12-month cycle. The bank also moved from 11th to 8th in terms of market share in the Fort Smith regional market.

Deposits with banks in the Fort Smith metro area totaled $4.072 billion as of June 2009, up 31.8% over the $3.089 billion posted in June 2000. The number of bank offices in the metro area increased from 113 in 2000 to 129 in 2009. Arvest added 13 in the 8-year period (from 4 to 17 bank offices; most of those from the Superior Federal acquisition), while BancorpSouth-City National Bank cut its bank presences from 11 to 10 offices. (Link here for the June 30, 2009 market share report from the FDIC.)

The contenders for the No. 2 and No. 3 spots are also the bank operations that have seen the most changes in the first decade of the new century.

Between 2000 and 2002, Tupelo, Miss.-based BancorpSouth bought the parent company of City National Bank. Also in that time, Bentonville-based Arvest Bank began its entry into the Fort Smith regional banking market.

In 2003, Arvest launched its $211 million acquisition of Little Rock-based Superior Federal. That purchase allowed Arvest to almost overnight boost its market share, and allow the bank to challenge BancorpSouth for the No. 2 spot.

The year (2003) also was the last Regions Bank would hold a top five market spot in the Fort Smith region. Regions Bank had in the 1990s acquired — through a series of bank acquisitions — the assets of Merchants National Bank, once a bank that challenged First National for the top spot.

TOP 5 MARKET SHARE SHIFTS 2009-2000
(based on deposit figures from the FDIC; all figures as of June 30)
• The regional market share position in 2009
First National Bank: 16.96%, $690.79 million in deposits
Arvest Bank: 11.59%, $471.9 million
BancorpSouth: 11.39%, $463.83 million
Bank of the Ozarks: 7.21%, $293.56 million
Citizens Bank & Trust: 7.06%, $287.7 million

• The regional market share position in 2008
First National Bank: 16.65%, $671.98 million in deposits
BancorpSouth: 11.99%, $483.98 million
Arvest Bank: 11.3%, $456.12 million
Bank of the Ozarks: 7.85%, $316.74 million
Citizens Bank & Trust: 7.11%, $286.84 million

• The regional market share position in 2006
First National Bank: 16.95%, $627.66 million in deposits
BancorpSouth: 15.08%, $558.50 million
Arvest Bank: 10.42%, $385.74 million
Bank of the Ozarks: 8.98%, $332.32 million
Citizens Bank & Trust: 6.78%, $251.04 million

• The regional market share position in 2002
First National Bank: 16.68%, $541.99 million in deposits
BancorpSouth: 15.88%, $516.19 million
Superior Federal: 10.13%, $329.17 million
Regions Bank: 7.75%, $251.77 million
Bank of the Ozarks: 6.28%, $203.98 million

• The regional market share position in 2000
First National Bank: 16.09%, $497.12 million in deposits
City National Bank: 15.32%, $473.21 million
Regions Bank: 11.13%, $343.86 million
Superior Federal: 9.71%, $299.94 million
Bank of the Ozarks: 7.09%, $219.11 million