First Horizon Bank

Last updated
First Horizon Corporation
Company type Public company
Industry Financial services
FoundedMarch 25, 1864;160 years ago (1864-03-25)
FounderFrank S. Davis
Headquarters Memphis, Tennessee, U.S.
Key people
Bryan Jordan
(President and CEO)
Hope Dmuchowski
(CFO)
Increase2.svg US$198 million (2022)
Total assets Increase2.svg US$88.7 billion (2022) [1]
Total equity Increase2.svg US$8.7 billion (2022)
Number of employees
7,600 (2022)
Website firsthorizon.com
Footnotes /references
[2]

First Horizon Corporation, formerly First Tennessee Bank, is a financial services company, founded in 1864, and based in Memphis, Tennessee. Through its banking subsidiary First Horizon Bank, it provides financial services through locations in 12 states across the Southeast, a region in which it is the fourth largest regional bank.

Contents

In November 2019, First Horizon Corporation and IberiaBank Corporation agreed to merge, closing in July 2020. The combined bank is based in Memphis, Tennessee, and uses the First Horizon name.

The bank gained national attention during the 2023 banking crisis, in which multiple regional banks across the United States as well as the Swiss institution Credit Suisse all collapsed and were bought out. First Horizon's stock price began to plummet in the wake of both a merger with Toronto-Dominion Bank being called off and the collapse of First Republic Bank in San Francisco.

History

A First Horizon Bank in Cleveland, Tennessee A First Horizon Bank in Cleveland, Tennessee.jpg
A First Horizon Bank in Cleveland, Tennessee

Frank S. Davis founded First National Bank, the first nationally chartered bank in Memphis after passage of the National Banking Act of 1863. Though the city was under martial law after being captured by Union forces in the Civil War, First National Bank of Memphis was officially chartered for business on March 25, 1864., [3] during the American Civil War.

The bank acquired German Bank in 1895. First National was one of five banks in the twelve districts to help implement the Federal Reserve Act of 1913. [3] and in 1914, the bank participated in the organization of the Federal Reserve Bank of St. Louis. The bank merged with Central-State National Bank in 1926. The merged bank retained First National's name and charter, but was led by Central-State's management team. [3]

In 1942, the bank opened its first suburban branch and by 1952 First National had seven offices. In 1961, a 25-story tower was announced. The 23-story headquarters was completed three years later, [3] at which time First National also opened six branches.[ citation needed ] As of 1967, First National was the largest bank in the Mid-South. A holding company, First National Holding Corporation, was created in 1969. Two years later, this became First Tennessee National Corporation, with the intention of acquiring other banks. The company acquired five banks in 1972, and as more banks became part of the company, their names changed to First Tennessee Bank. In 1977, First National also became First Tennessee Bank. [3]

In 1981 First Express became the first national check-clearing service, and First Tennessee offered brokerage services starting the next year. [3]

In 1995, with the purchases of Maryland National Mortgage Corporation and SNMC Management Corporation, First Tennessee had $6 billion in mortgage origination and was one of the country's top 10 mortgage originators. [3]

Allen B. Morgan was named president in 1960, chief executive in 1967, and chairman in 1969. [3]

During the 1980s, the company also expanded into mortgage brokerage, mortgage loan origination, and insurance. [3]

In 1993, the bank acquired MNC Mortgage. [3]

In 1994, the bank acquired Peoples Commercial Services Corporation. [3]

In 1995, with the purchases of Maryland National Mortgage Corporation and SNMC Management Corporation, First Tennessee had $6 billion in mortgage origination and was one of the country's top 10 mortgage originators. [3]

In 1999, to reflect its diversification, the bank adopted the slogan, All Things Financial. [4]

In 2004, the company changed its name to First Horizon National Corporation to reflect its interstate growth. [5]

In May 2007, the company acquired Republic Mortgage, based in Las Vegas. [6]

In September 2007, the company sold 34 branches outside of Tennessee, including 13 branches to M&T Bank, 10 branches to Sterling Bank, 9 branches to Fifth Third, and 2 branches to FMCB Holdings.

In June 2008, the company sold its residential-mortgage origination and servicing business to Metlife. [7]

In November 2008, the United States Department of the Treasury invested $866 million in the company as part of the Troubled Asset Relief Program and in December 2010, the company repurchased the investment from the Treasury. [8]

Logo of First Tennessee prior to rebranding to First Horizon. First Tennessee Bank (logo).svg
Logo of First Tennessee prior to rebranding to First Horizon.

Across the 2010s, First Horizon acquired three regional banks, starting in 2013, when it acquired the failing Mountain National Bank. In 2015, First Horizon acquired TrustAtlantic, and Capital Bank Financial in 2017. In 2019, First Horizon merged with IberiaBank to create a bank with $79 billion in assets and $58 billion in loans. [9] [10] Also in 2019, First Horizon announced it was going to rebrand all of its services under the same First Horizon name. The change encompassing First Tennessee Bank, Capital Bank, FTB Advisors and FTN Financial became effective at the close of business on October 25, 2019, with signage changes expected to be complete throughout those holdings by early 2020. [11]

On February 28, 2022, Toronto-based TD Bank Group announced that it would acquire First Horizon Corporation in an all-cash deal of $13.4 billion in what would have been the second-largest bank deal in recent U.S. history. [12] [13] On May 4, 2023, the companies announced that the acquisition would not proceed citing regulatory uncertainties, with TD owing First Horizon a total of $225 million in break-up fees as part of the termination agreement. [14] The merger's call off happened within the same week as the collapse and buyout of First Republic Bank by JPMorgan Chase, and the bank's financial failures are seen as part of the 2023 banking crisis. Reports of First Horizon's call off were paired with the news of PacWest Bancorp itself heading on a lifeline. [15]

Consumer and Business Banking

First Horizon banking services are available to individual consumers as well as businesses of all sizes.

On October 11, 2016, First Tennessee announced the opening of its first Piedmont Triad retail branch in Winston-Salem. The bank had offered commercial banking and real estate and wealth-management services in the city since 2004. From 2003 to 2016, Winston-Salem was also the headquarters of the Mid-Atlantic Region, including the Triangle, Charlotte and Greenville in North Carolina; Richmond in Virginia; Charleston in South Carolina; and Jacksonville in Florida. The new regional headquarters was in Raleigh, where First Tennessee had four branches after buying TrustAtlantic Bank in 2015. [16]

Related Research Articles

<span class="mw-page-title-main">Canada Trust</span> Defunct Canadian financial services firm

CT Financial Services Inc., operating as Canada Trust, was a financial services holding company headquartered in Toronto, Ontario, which operated in Canada through its trust company subsidiaries, including Canada Trustco Mortgage Company and The Canada Trust Company.

<span class="mw-page-title-main">Toronto-Dominion Bank</span> Canadian bank and financial services corporation

Toronto-Dominion Bank, doing business as TD Bank Group, is a Canadian multinational banking and financial services corporation headquartered in Toronto, Ontario. The bank was created on February 1, 1955, through the merger of the Bank of Toronto and The Dominion Bank, which were founded in 1855 and 1869, respectively. It is one of two Big Five banks of Canada founded in Toronto, the other being the Canadian Imperial Bank of Commerce.

TD Bank, N.A. is an American national bank and the United States subsidiary of the multinational TD Bank Group. It operates primarily across the East Coast, in 15 U.S. states and Washington, D.C. TD Bank is the seventh-largest U.S. bank by deposits and the 11th largest bank in the United States by total assets, resulting from a series of several mergers and acquisitions. TD Bank, N.A. is headquartered in Cherry Hill, New Jersey, a proximal suburb eight miles outside Philadelphia. TD Bank is a federally chartered bank, thus its trading name bears "N.A." letters.

<span class="mw-page-title-main">PNC Financial Services</span> Major bank based in Pittsburgh

The PNC Financial Services Group, Inc. is an American bank holding company and financial services corporation based in Pittsburgh, Pennsylvania. Its banking subsidiary, PNC Bank, operates in 27 states and the District of Columbia, with 2,629 branches and 9,523 ATMs. PNC Bank is on the list of largest banks in the United States by assets and is one of the largest banks by number of branches, deposits, and number of ATMs.

<span class="mw-page-title-main">SunTrust Banks</span> Former American bank

SunTrust Banks, Inc. was an American bank holding company with SunTrust Bank as its largest subsidiary and assets of US$199 billion as of March 31, 2018. The bank's most direct corporate parent was established in 1891 in Atlanta, where it was headquartered.

<span class="mw-page-title-main">National City Corp.</span> American bank and part of National City Corp

National City Corporation was a regional bank holding company based in Cleveland, Ohio, founded in 1845; it was once one of the ten largest banks in America in terms of deposits, mortgages and home equity lines of credit. Subsidiary National City Mortgage is credited for doing the first mortgage in America. The company operated through an extensive banking network primarily in Ohio, Illinois, Indiana, Kentucky, Michigan, Missouri, Pennsylvania, Florida, and Wisconsin, and also served customers in selected markets nationally. Its core businesses included commercial and retail banking, mortgage financing and servicing, consumer finance, and asset management. The bank reached out to customers primarily through mass advertising and offered comprehensive banking services online. In its last years, the company was commonly known in the media by the abbreviated NatCity, with its investment banking arm even bearing the official name NatCity Investments.

<span class="mw-page-title-main">Truist Financial</span> Banking company in the U.S.

Truist Financial Corporation is an American bank holding company headquartered in Charlotte, North Carolina. The company was formed in December 2019 as the result of the merger of BB&T and SunTrust Banks. Its bank operates 2,781 branches in 15 states and Washington, D.C., offering consumer and commercial banking, securities brokerage, asset management, mortgage, and insurance products and services. It is on the list of largest banks in the United States by assets; as of August 2023, it is the 9th largest bank with $514 billion in assets. As of January 2021, Truist Insurance Holdings is the seventh largest insurance broker in the world, with $2.27 billion in annual revenue.

TD Banknorth, formerly Banknorth, was a wholly owned subsidiary of the Toronto-Dominion Bank which conducted banking and insurance activities, primarily serving the northeastern area of the United States, headquartered in Portland, Maine. The bank became TD Bank, N.A. on May 31, 2008.

<span class="mw-page-title-main">First Union</span> Defunct banking company

First Union Corporation was a bank holding company that provided commercial and retail banking services in eleven states in the eastern U.S. First Union also provided various other financial services, including mortgage banking, credit card, investment banking, investment advisory, home equity lending, asset-based lending, leasing, insurance, international and securities brokerage services and private equity through First Union Capital Partners, and through other subsidiaries.

<span class="mw-page-title-main">Regions Financial Corporation</span> Financial services company based in Birmingham, Alabama

Regions Financial Corporation is an American bank holding company headquartered in the Regions Center in Birmingham, Alabama. The company provides retail banking and commercial banking, trust, stockbrokerage, and mortgage services. Its banking subsidiary, Regions Bank, operates 1,952 automated teller machines and 1,454 branches in 16 states in the Southern and Midwestern United States.

Yadkin Financial Corporation was a bank holding company and the parent of Yadkin Bank, a defunct regional bank with $7.3 billion in assets and 110 branches in North and South Carolina before the 2017 purchase by FNB Corporation of Pittsburgh. The bank was headquartered in Elkin, North Carolina.

FNB Corporation is a diversified financial services corporation based in Pittsburgh, Pennsylvania, and the holding company for its largest subsidiary, First National Bank. As of March 28, 2024, FNB has total assets of nearly $46 billion. FNB's market coverage spans several major metropolitan areas including: Pittsburgh, Pennsylvania; Baltimore, Maryland; Cleveland, Ohio; Washington, D.C.; Charlotte, Raleigh, Durham and the Piedmont Triad in North Carolina; and Charleston, South Carolina with approximately 350 offices. The company has approximately 4,200 employees.

<span class="mw-page-title-main">Wachovia</span> Defunct banking company

Wachovia was a diversified financial services company based in Charlotte, North Carolina. Before its acquisition by Wells Fargo and Company in 2008, Wachovia was the fourth-largest bank holding company in the United States, based on total assets. Wachovia provided a broad range of banking, asset management, wealth management, and corporate and investment banking products and services. At its height, it was one of the largest providers of financial services in the United States, operating financial centers in 21 states and Washington, D.C., with locations from Connecticut to Florida and west to California. Wachovia provided global services through more than 40 offices around the world.

<span class="mw-page-title-main">NewBridge Bank</span> Defunct American bank

NewBridge Bank was a banking company based in Greensboro, North Carolina, with locations in North Carolina and Virginia. It no longer operates under that name. The company formed from the merger of Lexington State Bank and FNB Southeast in November 2007. NewBridge Bank was the banking subsidiary of NewBridge Bancorp. NewBridge Bank had 44 branches, total assets of about $2.7 billion and total deposits of about $2 billion. Its branches were mainly centered on the North Carolina regions of the Piedmont Triad and the Lower Cape Fear.

<span class="mw-page-title-main">United Community Bank</span> Bank holding company

United Community Banks, Inc. is an American bank. United is one of the largest full-service financial institutions in the Southeast, with $25.9 billion in assets, and 161 offices in Alabama, Florida, Georgia, North Carolina, South Carolina and Tennessee.

<span class="mw-page-title-main">Capital Bank Financial</span> Former American bank

Capital Bank Financial Corporation was a bank holding company headquartered in Charlotte, North Carolina with $10 billion in assets as of first quarter 2017 and 193 branches. Former Bank of America vice chairman Gene Taylor was chief executive, former Bank of America executive and Fifth Third Bank CFO, Chris Marshall was CFO and former Bank of America executive, R. Bruce Singletary was Chief Risk Officer. Former Morgan Stanley specialty finance research analyst, Kenneth Posner, managed corporate strategy and investor relations. North American Financial Holdings (NAFH) original purpose was to take over banks that had difficulties due to the financial crisis of 2007–2010. The company's main interest was banks in the Carolinas and Florida, but in 2011, NAFH moved into Tennessee and Virginia. Despite buying seven distressed, money losing banks, NAFH's Capital Bank was consistently profitable during the duration of its existence and consistently posted improved returns for each of its five years of operations. Capital Bank completed a successful IPO in September 2012, and used to trade on the NASDAQ under the ticker CBF until its acquisition by First Horizon National Corporation in December 2017.

Central Carolina Bank and Trust (CCB) was a bank headquartered in Durham, North Carolina. It began in 1961 with the merger of Durham Bank & Trust and University National Bank of Chapel Hill, North Carolina. Central Carolina Bank and Trust merged with SunTrust Banks of Atlanta, Georgia in 2005, which in turn merged with BB&T to form Truist Financial. Its headquarters was the historic 17-story Hill Building in North Carolina.

National Bank of Commerce was an American bank headquartered in Memphis, Tennessee until it was taken over by SunTrust Banks in 2005.

IBERIABANK Corporation, stylized as IBERIABANK, was an American financial holding company headquartered in Lafayette, Louisiana, and the largest bank based in the state. Founded in 1887, it had 325 combined locations, including 190 bank branches and three loan production offices in 12 states primarily throughout the South. The company had 16 wealth management locations in five states, and one Iberia Capital Partners office in New Orleans.

<span class="mw-page-title-main">BB&T</span> U.S. bank merged with SunTrust Banks to form Truist Financial

BB&T Corporation was one of the largest banking and financial services firms in the United States, based in Winston-Salem, North Carolina. In 2019, BB&T announced its intentions to merge with Atlanta-based SunTrust Banks to form Truist Financial, which retains BB&T's stock price history and operates under BB&T's charter.

References

  1. ↑ Donnelly, Grace (6 July 2020). "First Horizon Bank completes merger with IberiaBank". Atlanta Business Chronicle . Retrieved 27 May 2021.
  2. ↑ "First Horizon National Corporation 2018 Form 10-K Annual Report". U.S. Securities and Exchange Commission.
  3. 1 2 3 4 5 6 7 8 9 10 11 12 "First Tennessee National Corporation." International Directory of Company Histories, edited by Paula Kepos, vol. 11, St. James Press, 1995, pp. 120-121. Gale Virtual Reference Library.
  4. ↑ "First Horizon Bank Announces Opening of Old Town Alexandria Financial Center". ir.firsthorizon.com. Retrieved 2022-05-20.
  5. ↑ "Our History - First Horizon National Corporation". www.firsthorizon.com. Retrieved 2022-05-20.
  6. ↑ "First Horizon Acquires Las Vegas-Based Republic Mortgage". ir.firsthorizon.com. Retrieved 2022-05-20.
  7. ↑ "Metlife Bank to acquire select assets from First Horizon National Corporation". 2008.
  8. ↑ "First Horizon to Repay TARP Funds". Memphis Daily News. Retrieved 2022-05-20.
  9. ↑ "Mergers & Acquisitions - First Horizon Corporation". ir.fhnc.com. Retrieved 2022-05-20.
  10. ↑ "Corporation Complete Merger of Equals". Press Release: First Horizon Investor Relations. July 2, 2020. Archived from the original on October 25, 2020.
  11. ↑ "FAQs - First Horizon Bank". www.firsthorizon.com. Retrieved 2022-05-20.
  12. ↑ Craver, Richard (February 28, 2022). "First Horizon agrees to be sold to Toronto's TD Bank Group for $13.4 billion; deal would be second largest in U.S. since Great Recession". Winston-Salem Journal . Retrieved March 1, 2022.
  13. ↑ Kylee, John (February 28, 2022). "First Horizon to be acquired in $13.4B deal with Toronto-based TD Bank". Charlotte Business Journal. bizjournals.com. Retrieved May 20, 2022.
  14. ↑ Marchese, Adriano (May 4, 2023). "Toronto-Dominion Bank, First Horizon Terminate Merger Agreement". Wall Street Journal. wsj.com.
  15. ↑ Goldman, David (2023-05-04). "First Horizon stock tumbles after TD Bank merger collapses | CNN Business". CNN. Retrieved 2023-05-04.
  16. ↑ Craver, Richard (October 12, 2016). "First Tennessee opens first retail branch in Winston-Salem". Winston-Salem Journal . Retrieved October 12, 2016.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.