VOL. 133 | NO. 72 | Tuesday, April 10, 2018
First Tennessee Bank Launching $4 Billion Community Investment Effort
By Andy Meek
Memphis-based First Tennessee Bank, along with its newly acquired Capital Bank, are launching a five-year, nearly $4 billion effort to expand the availability of financial resources in low- to moderate-income communities across an 8-state footprint.
The plan - covering communities in Florida, Georgia, Mississippi, North and South Carolina, Tennessee, Texas and Virginia - includes mortgage and small business lending, community development lending, philanthropy and spending with minority-owned suppliers and marketing firms. Expanding physical access to financial services in low- to moderate-income communities is also part of this push.
The effort, which is an agreement with the National Community Reinvestment Coalition and its community-based members across the Southeast, will run until 2022.
“Our company is dedicated to supporting the success of underserved individuals and strengthening communities across our footprint,” said Bryan Jordan, chairman and CEO of First Horizon National Corp., in a statement about the plan. “We believe our new $4 billion investment will take our longstanding community commitment to the next level by spurring growth and sustainable economic development.”
The plan includes a $515 million funding of home purchase and rehabilitation mortgage lending. Also, $1.9 billion in small business lending; $1.5 billion in community development and multi-family lending and investments and $40 million in grants and philanthropy.
The bank also plans to earmark 3 percent to 6 percent of its supplier spending for minority-owned businesses, as well as a portion of its marketing budget to minority-owned firms.
Marcia Lewis, executive director of the Memphis Housing Authority, said the plan will provide low-income households with access to services “that will build their self-sufficiency, independence from government assistance and improve their future.”