Commerce Bancorp

From Wikipedia, the free encyclopedia

Commerce Bancorp

Type	Public (NYSE: CBH)
Founded	Marlton, NJ (1973)
Headquarters	Cherry Hill, New Jersey Main Corporate Campus Mount Laurel, New Jersey
Key people	Vernon Hill, Founder & CEO, Linda Verba, Dennis Deflorio
Industry	Finance and Insurance
Products	Banking
Revenue	$1.60 billion USD ( $204M FY 2005)
Employees	approx 14,000
Slogan	America's Most Convenient Bank
Website	www.commerceonline.com

Commerce Bancorp (NYSE: CBH), doing business as Commerce Bank, is a Cherry Hill, New Jersey based bank holding company that offers banking, insurance, brokerage, and investment banking services in New Jersey, Pennsylvania, Delaware, New York, Connecticut, Virginia, Washington, D.C., Florida, and Maryland .Commerce Bancorp stock is traded under the New York Stock Exchange ticker symbol CBH. One little known, but interesting fact is that all free standing Commerce Bank stores have exactly 11,900 bricks- no less, no more.

Founded in 1973 by Wharton School graduate and fast-food restaurant franchise owner Vernon Hill, Hill sought to bring fast food convenience to banking and has rapidly expanded Commerce from one location to over 435 in 33 years. With growth of over 65 new stores opening each year, the company has planned to reach at least 800 stores by 2010.

Television advertisements for Commerce Bank currently feature Kelly Ripa and Regis Philbin.

1 The Commerce Business Model
2 Availability of Funds
3 WOW! Awards
4 Mascots
5 Mergers and Acquisitions
6 Commerce Bank Harrisburg
7 Commerce Bank Confusion
8 Commerce Bank Scandals
9 External links

[edit] The Commerce Business Model

Commerce Bank prides itself on its exceptional customer service. Commerce feels that they are retailers and not bankers, and attempt to win customers over to their unique brand of banking. They even go so far as to call their various locations stores, and not branches.

Features that Commerce offers its customers include:

7 day lobby or drive-thru hours, even in Center City Philadelphia and Manhattan.
No fees for bank statements and other common requests
Instant creation of ATM cards on the spot at the time of account opening
Free "Penny Arcade" coin counting machines for both customers and non-customers
Lollipops and dog biscuits in the lobby and at the drive-thru
Free Visa Gift Cards
Foreign ATM fee reimbursement (if you maintain a daily balance of $2,500 through the statement cycle)
Interest-bearing checking accounts ($1,000 minimum balance required through the statement cycle)

Commerce Bank's business model has generated what some call a cult following in the geographic areas where they currently have stores. Commerce offers its customers merchandising giveaways such as coffee mugs, pens and pencils. In 2006 alone, they gave out 28 million free pens.

[edit] Availability of Funds

Commerce Bank is one of the leading banks in funds availability for deposited checks. Most deposits of checks made before 6 PM (Monday through Friday) will be available on the morning of the next day (Tuesday through Saturday). Deposits made after six will generally be available on the morning of the following business day; since Saturday and Sunday are part of Monday's business day, this means that most deposits of checks made after 6 PM Friday are available Tuesday morning. Starting early 2007, the deposit time will be extended to 8 PM.

[edit] WOW! Awards

Every year since 1998 Commerce Bank has had an employee appreciation event called the WOW! Awards. 2006's WOW! Awards were at Radio City Music Hall for the third time (2006, 2005, 2003). Past venues have been: Boardwalk Hall in Atlantic City 2004, E-Center now the Tweeter Center at the Waterfront in Camden, NJ in 2003 and 2002.

[edit] Mascots

Mr. C

As with many companies, Commerce Bank has an official Mascot: Mr.C. Mr.C is the Commerce Bank logo, a red c, with black arms and legs. He always has a huge smile and large bushy eyebrows.

Buzz Bee is also a mascot for the bank. However, Buzz is used primarily as an internal mascot for the "WOW! members" (i.e. the employees).

[edit] Mergers and Acquisitions

While most of Commerce Bank's growth is organic, there have been five large acquisitions since the banks founding. In the early 90's, Anchor Savings Bank with four locations (Cherry Hill Mall, Bellmawr, Woodcrest, West Deptford). On January 21st 1997, Independence Bancorp, Inc was acquired; this is the foundation of Commerce Bank / North. On August 13th 1998, Tinton Falls State Bank and parent Community First Banking Company were acquired; this added to the foundation of Commerce Bank / Shore. On September 17th 1998, Prestige State Bank and parent Prestige Financial Corp were acquired; this is the foundation of Commerce Bank / Central. On July 25th 2005, Palm Beach County Bank was acquired; this is the foundation of Commerce Bank in Southeast Florida.

[edit] Commerce Bank Harrisburg

Since 1985, Commerce Bank has had an independent franchise in the Harrisburg region. Pennsylvania Commerce Bancorp, Inc. [1] has 29 stores in Berks, Cumberland, Dauphin, Lancaster, Lebanon and York counties. The headquarters for Commerce Bank Harrisburg is in Swatara Township, just outside Harrisburg.

[edit] Commerce Bank Confusion

Commerce Bancorp should not be confused with Commerce National Bank, a $3 billion business bank headquartered in Columbus, Ohio. Commerce National Bank is the 3rd largest bank bearing the name Commerce behind Commerce Bancorp and Kansas City-based Commerce Bancshares.

[edit] Commerce Bank Scandals

Commerce is currently under investigation by the Office of the Comptroller of the Currency and the Federal Reserve for "questionable" operations involving bank officers and the bank's real estate purchases. The bank is also re-stating numerous years of tax returns and SEC reports. The double digit growth of the company's stock is expected to end, perhaps even be reversed. The bank is also under investigation for hiring illegal aliens at the bank's locations in Metro DC/VA/MD.