Cadence Bank to Cut 17 Jobs

When it comes down to it, the odds are good that you don’t know a lot about regional banks, unless that is you happen to bank with them. Take for example Cadence Bank; the odds are good that you do not know much about the company. For those of you who are not familiar with the company here s a look at how they describe themselves, “In 2009, a Houston-based bank holding company called Community Bancorp, LLC (CBC) was created to continue to help communities and businesses grow amidst the global financial crisis. Veteran Houston banking leader Paul B. Murphy, Jr. joined as Chief Executive Officer in 2010. Alongside a board that represents some of the best minds in banking, he successfully raised $1.0 billion in new capital to invest in the U.S. banking industry. These investors represent some of the best known pension and university endowments in the country. To date, Cadence Bancorp, LLC, as the holding company is now known, has invested $875 million of the original $1.0 billion.”

Interestingly enough a bank with that much in the way of funding is getting ready to layoff workers. The bank is getting rid of a modest number of workers, 17 total for the time being, in order to help streamline its operations and remove staffing redundancies.

The company has not said whether or not this loss is related to its recent acquisition of another banking company. The bank recently put out a release about the acquisition, “Cadence Bancorp, LLC today announced that it has closed on the purchase of Encore Bancshares, Inc. (NASDAQ: EBTX) through the merger of Encore with and into a wholly-owned subsidiary of Cadence Bancorp, LLC…. With the completion of this acquisition, Cadence Bancorp is now a regional bank holding company with $5.5 billion in assets and a network of more than 100 branch locations in Alabama, Florida, Georgia, Mississippi, Tennessee and Texas. This includes 13 offices in Houston.” While this merger is significant, the bank has not said if the layoffs are related to this, or if other post acquisition job cuts are to come.

Of course it is not only small banks taking the hits and choosing to deal with them by cutting back on staff. Some of you mar recall our earlier coverage of larger cuts at Capital One Bank, “Today we are talking about the cuts that are being made to Capital One Bank. The management of the Capital One Bank has decided to get rid of about 80 workers as a part of their plans to make a profit and consolidate the organization more… Of course this is not the first time that the company has laid off workers in the recent past. Some of you may recall our earlier coverage of the jobs cuts, in which the company acquired a facility and then not long after cut back on about 100 workers as part of another mass layoff action. Those layoffs were begun in May of this year, making this round of layoffs the second mass layoff action that the company announced in a 60-day span.”