The Power of a Client–Focused Heritage and Culture
Timeline of Events 1950-2015
Image Credit – Coshocton National Bank
Jim Herbert learns the banking business from his father, a respected community bank executive, during his childhood in Ohio.
Herbert accepts an offer from Chase Manhattan Bank to enroll in its training program.
Herbert purchases a Pop Shoppe bottling plant and franchise in Richmond, VA, and focuses its marketing efforts on “getting trial” with new customers, successfully gaining market share from well-known soft drink brands Coke and Pepsi.
1980s ESTABLISHMENT
Herbert and Roger Walther purchase the charter to a Sunnyvale, CA-based thrift and loan. In August, they open Westcoast Thrift & Loan’s first office on El Camino Real in Silicon Valley.
1980s ESTABLISHMENT
Herbert and Walther purchase Los Angeles-based First United Thrift & Loan, expanding their enterprise into Southern California. They grandfather Westcoast Thrift & Loan under First United’s charter and form San Francisco Bancorp as the holding company for their two thrifts.
1980s ESTABLISHMENT
After going public in 1983, San Francisco Bancorp announces its sale to Atlantic Financial Federal, on May 9th, 1984. Herbert and Walther envision their next venture – a banking enterprise uniquely focused on jumbo home mortgages.
1980s ESTABLISHMENT
First Republic Thrift & Loan opens for business July 1st at 201 Pine Street in San Francisco. Katherine August-deWilde joins as Chief Financial Officer two weeks later.
1980s ESTABLISHMENT
First Republic introduces the credit clawback provision to promote high-quality lending and foster a sense of ownership and accountability among Relationship Managers.
1980s ESTABLISHMENT
In August, First Republic goes public, selling 840,000 shares at $10 per share. It is listed on the NASDAQ exchange under the symbol “FRBC.”
1980s ESTABLISHMENT
First Republic debuts its signature client testimonials in its annual report.
"My real estate clients often ask me for the right resource for their transactions. First Republic is a
quality company. They consistently offer competitive rates and responsive, professional service.”
Malin Giddings
1980s ESTABLISHMENT
The Loma Prieta earthquake strikes San Francisco on October 17th, damaging First Republic’s headquarters. Clients in affected areas receive calls from their concerned bankers, and First Republic relocates to 101 Pine Street.
1990s INVESTMENT
First Republic is listed on the New York Stock Exchange on July 28th as “FRC.”
1990s INVESTMENT
In September, First Republic opens its first neighborhood deposit taking location on San Francisco’s Geary Boulevard.
1990s INVESTMENT
First Republic acquires Silver State Thrift & Loan in Reno, NV, converts it to First Republic Savings Bank, and relocates the operation to Las Vegas, securing a deposit-taking presence in the area.
1990s INVESTMENT
The Northridge earthquake strikes Southern California on January 17th, causing massive damage to Los Angeles properties. It prompts the Bank to tighten its lending standards and processes even further, resulting in distinct credit administration and loan review roles.
1990s INVESTMENT
First Republic adopts the tagline
“It’s a privilege to serve you.”
First Republic’s collection of thrift & loans merges into one Nevada banking entity, First Republic Bank, a major step in its transition to a commercial bank. This represents the key inflection point for the enterprise, as it moves towards becoming a full-service private bank without a bank holding company, able to fully serve its clients’ financial needs.
1990s INVESTMENT
Preferred Banking is introduced to integrate the deposit-taking and lending arms of First Republic, helping to optimize the relationship banking experience.
1990s INVESTMENT
The Bank purchases 19.9 percent of Trainer, Wortham & Company, enabling expansion into the New York metropolitan market and marking its entry into investment management services. First Republic purchases the remainder of the firm in 1999.
1990s INVESTMENT
With deep ties to the Silicon Valley community, beginning first with Westcoast Thrift & Loan, First Republic introduces full-service Internet banking, improving upon the initial online platform it launched in 1994.
1990s INVESTMENT
First Republic establishes its East Coast presence, opening an office on Park Avenue in New York City.
2000s EVOLUTION
Average products per new home loan clients grows from 1.1 in 1996 to 6.1 in 2000.
2000s EVOLUTION
First Republic formally articulates the First Republic Values.
2000s EVOLUTION
The Bank expands its East Coast presence, adding offices in Greenwich, CT, and Boston.
2000s EVOLUTION
First Republic completes its first, and only, bank merger with Bank of Walnut Creek, gaining seven offices in San Francisco’s East Bay.
2000s EVOLUTION
The Bank opens an investment management office in Portland, OR, and soon introduces its full array of banking products and services there.
2000s EVOLUTION
On January 29th, First Republic announces its acquisition by Merrill Lynch for $55 per share, totaling $1.8 billion, nearly 3.6 times the Bank’s tangible book value. The agreement allows First Republic to retain its brand, management team, offices, employees, substantial strategic decision-making authority and, most importantly, a continued focus on its culture.
Image Credit – © Seth Wenig / AP / Corbis
2000s EVOLUTION
The sale of First Republic to Merrill Lynch closes on September 21st.
2000s EVOLUTION
First Republic assembles its first Culture Maintenance Council, bringing together professionals from across the company to ensure the uninterrupted continuation of the Bank’s culture, values and operating principles during a turbulent time. The Council eventually evolves into the Bank’s Culture Carrier Roundtable, graduating over 500 leaders in maintaining its unique culture 2006 by the end of 2014.
Image Credit – © Bebeto Matthews / AP / Corbis
2000s EVOLUTION
Over the weekend of September 13th, Lehman Brothers files for bankruptcy protection and Merrill Lynch agrees to be purchased by Bank of America.
Image Credit – Alex Proimos
2000s EVOLUTION
First Republic officially becomes part of Bank of America on January 1st.
2000s EVOLUTION
Later in the year, the First Republic team, with Colony Capital and General Atlantic as the lead equity investors, coordinate a management-led buyback bid and raise $2 billion in capital in two weeks’ time.
2010s MOVING FORWARD
On June 30th, First Republic regains independence.
2010s MOVING FORWARD
First Republic completes its second IPO in December.
2010s MOVING FORWARD
First Republic is named “Best Private Bank in North America” by Private Asset Management magazine.
2010s MOVING FORWARD
First Republic Bank is ranked among the Top 5 Best Banks in America by Forbes magazine.
2010s MOVING FORWARD
First Republic establishes a Preferred Banking Office in Palm Beach, FL, to better serve existing clients in the area and throughout the Northeast.
2010s MOVING FORWARD
As part of continued management succession planning, First Republic begins an executive education program, sending over 65 of its business leaders to various leadership programs at Harvard, Wharton, Dartmouth and Stanford.
2010s MOVING FORWARD
Institutional Investor magazine recognizes First Republic Bank for Best Investor Relations program, Jim Herbert for Best CEO and Willis Newton for Best CFO.
2010s MOVING FORWARD
FRC is added to the KBW Bank Index, a benchmark of the banking industry that includes 24 major U.S. banking and financial service enterprises.
2010s MOVING FORWARD
Jim Herbert is named Banker of the Year by American Banker.
