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RUTH ANN CLARK

When Ruth Ann Clark drives to or from the six JPMorgan Chase offices she oversees, she leaves her radio turned off. These commutes create a white space for Clark to sort through and analyze data to identify potential solutions — in short: great thinking time. “That is one of the things I try to prioritize.”

Being a strategic thinker is a skill Clark has tried to sharpen over the course of her career. Alongside her team, she creates a road map to support the aerospace, defense and government services industry in various ways. She particularly enjoys the good discussions and problem-solving, as well as the customer-facing aspects of her role. “A gratifying day to me,” she says, “is a couple of great aha! moments.” 

One of Clark’s mantras is that “anybody can be a leader,” so mentoring the next generation of leaders has long been one of her priorities. She recalls trying to make sense of how corporate America worked when she began her career — something she now tries to demystify for others. “I thought about how much easier it would be if someone told me, ‘This is what success looks like.’”

She took a similar approach at home, where she spent breakfasts delivering what her grown kids refer to as “life lesson lectures.” And even though all three of her kids now live out of state, Clark and her husband have strived to maintain closeness in their family. “I’m really proud of that.”

RELATED STORY: 2024 Virginia Women in Leadership Awards

SHAZA ANDERSEN

Shaza Andersen could have opted for early retirement in 2017 when the first bank she founded, WashingtonFirst Bank, was acquired by Sandy Spring Bank. But her work wasn’t finished and, along with former colleagues, she founded Fairfax County-based Trustar Bank, which opened for business in 2019.

Success this time around has been “very rewarding,” Andersen says, because Trustar differentiates itself by offering highly personalized service, responsiveness and a willingness to tailor products to customers’ unique needs. “I feel that banking is a way for you to help people.” 

Helping people has been a theme throughout Andersen’s career. She became interested in banking in college while working as a teller and customer service representative. While the COVID pandemic presented one of the best opportunities to step up and make a difference in customers’ lives, helping people in everyday ways is what gets her up each day. “That’s what I enjoy and work towards, making a difference and making an impact.”

That goes beyond banking for Andersen, who says she’s most proud of the nonprofit she founded, Trustar Youth Foundation, and its impact on the greater Washington, D.C., community. But it’s her role at home that’s always been Andersen’s top priority.

“When my kids were little, people would always ask me, ‘How do you balance a high-stress job with kids and family?’” she recalls. “It’s never a balance; the kids and family will always come first.”

RELATED STORY: 2024 Virginia Women in Leadership Awards

KIM SNYDER 

Fewer than one in five C-suite positions in financial services are held by women globally, according to Deloitte. But Kim Snyder, founder and CEO of Roanoke-based banking software company KlariVis, defies the odds. After “many rewarding years in community banking,” a 2015 acquisition by BNC Bancorp displaced her from her job as chief financial officer for Valley Financial Corp. and Valley Bank. But that unexpected change steered her toward founding fintech KlariVis, which provides data analytics tools for community banks. 

Snyder wears many hats at KlariVis, from raising capital to overseeing business operations. 

“Stepping into this leadership position was unique, as it wasn’t an existing role I sought out but one that I created out of necessity,” Snyder says. Plus, “being a woman in fintech and banking requires creativity and resilience. Navigating a traditionally male-dominated industry, I’ve had to carve out a space where women can thrive.”

Outside KlariVis, Snyder shares her expertise as a board member for Verge, formerly known as the Valleys Innovation Council, which brings together local tech companies to identify regional priorities for the industry and generate funding for tech and biotech projects in Roanoke, the New River Valley and Lynchburg. She’s also served as an instructor for the Virginia Bankers Association’s Virginia Bankers School of Bank Management.

“If you’re passionate about fintech and banking, pursue your goals relentlessly,” Snyder says. “The industry needs more women leaders to drive progress and transformation.”

RELATED STORY: 2024 Virginia Women in Leadership Awards

Capital One, Walmart end credit card agreement

McLean-based Capital One Financial is no longer the exclusive issuer of Walmart consumer credit cards.

The two Fortune Global 500 companies announced Friday that they had ended their consumer card agreement. The announcement follows problems first uncovered in late 2022 and early 2023, according to Reuters reporting.

Capital One became the exclusive issuer of Walmart’s private label and co-branded credit card program in the U.S. on Aug. 1, 2019, after the bank and retail giant announced the partnership in 2018. Their agreement followed the end of Arkansas-based Walmart’s nearly 20-year partnership with Synchrony Financial.

In April 2023, Walmart filed a lawsuit in the U.S. District Court for the Southern District of New York to end the partnership. The retailer said the bank failed to deliver customer replacement cards within five days and to promptly update transaction and payment information in customer accounts. A federal judge ruled in March that Walmart could end the credit card partnership with Capital One.

Cardholders, though, can continue to earn and redeem rewards, and until informed otherwise, can continue to use their Capital One Walmart Rewards cards wherever Mastercard is accepted, according to a news release.

Capital One retains ownership and servicing of the credit card portfolio, which, according to a Securities and Exchange Commission filing, totals approximately $8.5 billion in loans. The company expects to convert eligible customers into Capital One-branded cards.

The end of the agreement also terminates the companies’ revenue-sharing and loss-sharing agreements.

Capital One is in the process of buying Discover Financial Services in a $35.3 billion all-stock deal, but the deal has come under federal scrutiny.

As of March 31, Capital One and its subsidiaries had $351 billion in deposits and $481.7 billion in total assets. Capital One ranked No. 106 on Fortune magazine’s 2023 Fortune 1000 list and No. 386 on its 2023 Global 500 list.

Burke & Herbert completes merger

Alexandria-based Burke & Herbert Financial Services has completed a merger with West Virginia’s Summit Financial Group, the company announced May 3. 

The $371.5 million deal, first announced in August 2024, created a bank holding company with more than $8 billion in assets. The combined company will have more than 75 branches across Virginia, West Virginia, Maryland, Delaware and Kentucky and more than 800 employees. 

Operating as Burke & Herbert Financial Services, the combined company will be headquartered in Alexandria, the companies announced in August. 

David Boyle, CEO of Burke & Herbert, will continue in that role, while Charlie Maddy, Summit’s president and CEO, will serve as president and as a director of the combined company. 

The combined company’s board will have 16 directors with eight directors from Burke & Herbert and eight from Summit. 

“This combination brings together organizations that are unified by a shared vision, values and a forward-thinking approach to banking,” Maddy said in a statement. “Our synergistic cultures strategically position us for future growth and lay the foundation for cultivating richer relationships in order to become the most sought-after community bank in our markets.”

In the August announcement, Burke & Herbert said the merger would likely close during the first quarter of 2024. A request for comment about the delay was not immediately returned Tuesday. 

Burke & Herbert and Summit announced the companies had received necessary approvals from regulators on April 19.

Fed’s Fifth District economy grows slightly

The economy in the Federal Reserve’s Fifth District (a multistate region including Virginia, North Carolina, South Carolina, West Virginia and Maryland) grew slightly in recent weeks, according to the latest edition of the Federal Reserve’s Beige Book, released April 17.

Published eight times per year, the Beige Book is based on anecdotal information about economic conditions gathered from the nation’s 12 Federal Reserve Banks. It is compiled from reports by bank and branch directors, as well as information gathered from business contacts, economists, market experts and other sources. The April release is an update from the Fed’s March 6 report.

Here’s what the most recent Beige Book edition revealed about the direction the economy is taking:

Employment in the Fifth District grew at a moderate pace in the most recent reporting period, according to the Fed. Contacts continued to report difficulty finding workers but noted improvement. Finding skilled trades workers remained difficult. Wage growth remained moderate.

Fifth District prices continued to grow at a moderate annual rate in recent weeks. Prices received by service providers continued to grow at a rate of about 4%, according to survey respondents, and prices received by manufacturers continued to grow at a rate between 2% and 3%. Respondents most cited increased labor costs as the reason price growth remained elevated. Some firms reported that higher borrowing and energy costs have raised operating costs.

Manufacturing activity in the region declined modestly in this reporting period. Several respondents said interest rates negatively affected their businesses. A cabinet manufacturer, for example, reported that clients were canceling projects because they couldn’t wait any longer for interest rates to drop. Manufacturers also mentioned increased cost pressure from nonproduction services, like legal, medical and other insurance services.

Fifth District port activity declined slightly, and the Francis Scott Key Bridge’s March 26 collapse shut down traffic into and out of the Baltimore harbor and the city’s main port terminal. Shipments were diverted to other East Coast ports, including the Port of Virginia.

Overall, loaded container volumes at ports were slightly down. Import volumes increased largely because of retailers restocking consumer goods. Imports and exports of rolling stock, or railway vehicles, were down this reporting cycle. Air freight volumes remained flat, and shipping rates remained low because of overcapacity.

Trucking demand continued to slightly increase as retailers restocked but reflected a seasonal drop in volume. Rates in the truckload segment dropped because the industry is oversaturated, but companies in the less-than-truckload segment said they were able to negotiate flat to slight increases in contract rates due to decreased capacity.

Trucking firms reported no significant backlogs on new equipment, and parts availability improved. Driver turnover remained at the industry average, but some specialized positions, like mechanics, remained difficult to fill.

Retail spending was little changed in this reporting period, according to the Fed. Several retail and restaurant respondents reported unseasonably low customer traffic, although a furniture store and a hardware store saw increased sales and foot traffic, which they attributed to the seasonal pickup in the housing market and yard work. Hotel contacts said occupancy had only slightly increased but noted they had strong future bookings for the next few months.

Residential real estate firms noted it hadn’t been a robust spring market but that the housing sector continued to have pent up demand. Total closed sales dropped month-over-month. Average days on the market increased slightly but stayed below the historic average, while housing inventory remained tight. Although listing prices remained flat, many homes sold above asking price. Increases in construction costs moderated.

Commercial real estate market activity in the Fifth District improved slightly from the last report. Retail and industrial/flex space leasing continued to have higher rental rates and low vacancy rates. The office sector saw greater leasing activity from firms looking for more efficient space and moving to suburban locations.

A growing number of commercial office buildings, however, were unable to qualify for refinancing. Commercial real estate values declined due to slowing sales and negligible capital markets activity. Commercial contractors noted a lack of qualified candidates and rising material and labor costs.

Most Fifth District financial institutions observed a slight increase in loan demand in their business and commercial real estate loan portfolios. Deposit levels continued to modestly decline, and competition for any available deposits remained high. Loan delinquency rates remained stable from the March Beige Book report.

Nonfinancial service providers reported that demand for their services and revenues continued to remain stable. Wages and workforce issues were less of a challenge as they continued to modestly stabilize.

Capital One-Discover deal faces federal scrutiny

McLean-based Capital One Financial announced plans in February to buy Discover Financial Services for $35.3 billion in an all-stock deal that would mark Capital One’s largest ever acquisition and make it the nation’s biggest credit card lender.

The transaction is expected to close in late 2024 or early 2025, according to the banks. At close, Capital One shareholders would own about 60% of the combined company, and Discover shareholders would hold approximately 40%.

However, the deal must receive federal regulatory approval to move forward, and the Biden White House has fought consolidation of large corporations, including the proposed $3.8 billion merger of JetBlue Airways and Spirit Airlines, which was called off in March after the airlines lost an antitrust lawsuit. Although it’s the first bank merger of this size proposed during President Joe Biden’s term, he enacted an executive order in 2021 encouraging federal agencies with authority over banks, including the Federal Reserve and the Federal Deposit Insurance Corp., to update their guidelines on banking mergers “to provide more robust scrutiny.”

U.S. Sen. Sherrod Brown, chairman of the Senate Banking Committee, said in a statement following the Capital One-Discover announcement that “a rubber-stamped merger that makes powerful financial companies even bigger and more powerful will do nothing for families.” From both sides of the aisle, U.S. Sen. Elizabeth Warren, D-Massachusetts, and U.S. Sen. Josh Hawley, R-Missouri, urged the Biden administration to block the deal, with Hawley charging it would grant Capital One “unprecedented powers to extort American consumers.”

If the merger goes through, Capital One would use Discover’s credit card payment network to process transactions, instead of relying on Visa and Mastercard platforms. Also, with Discover’s banking business included, Capital One would have more than $450 billion in deposits.

“From Capital One’s founding days, we set out to build a payments and banking company powered by modern technology. Our acquisition of Discover is a singular opportunity to bring together two very successful companies with complementary capabilities and franchises, and to build a payments network that can compete with the largest payments networks and payments companies,” Capital One Chairman, CEO and founder Richard Fairbank said in a statement.

Illinois-based Discover has a market value of about $27.6 billion. Capital One has a market capitalization of about $52.2 billion and reported $34.25 billion in 2022 revenue.  

Deputy Editor Kate Andrews contributed to this story.

Top Five April 2024

The top five most-read daily news stories on VirginiaBusiness.com from Feb. 14 to March 13 were led by news that Danish toymaker Lego will delay production at its Chesterfield County facility until 2027.

1   |   Lego delays Chesterfield production start to 2027

Lego Group will begin production at its $1 billion manufacturing facility at Meadowville Technology Park at least a year later than originally announced. (Feb. 15)

2   |   Capital One to buy Discover in $35.3 billion deal

McLean-based Capital One Financial plans to acquire Discover Financial Services in an all-stock deal that would make Capital One the nation’s biggest credit card lender. (Feb. 19)

3   |   Dominion to sell 50% interest in Virginia Beach offshore wind farm for $3 billion

Dominion Energy reached an agreement to sell a 50% noncontrolling stake in its Coastal Virginia Offshore Wind project to investment firm Stonepeak. (Feb. 22)

4   |   Liberty University fined $14 million for underreporting campus crime

The U.S. Department of Education levied a record fine against Liberty in a settlement of alleged Clery Act violations by the Lynchburg-based Christian university. (March 5)

5   |   Norfolk looks to renovate Scope, Chrysler Hall instead of building arena

Norfolk is considering renovating the older city-owned venues rather than building anew arena at the former Military Circle Mall site. (Feb. 22)

Dominion Energy is selling a 50% noncontrolling stake in its $9.8 billion Virginia Beach offshore wind farm to Stonepeak. Photo by Mark Rhodes

First National to acquire Prince George-based community bank

Strasburg-based First National has entered into a definitive merger agreement to acquire Prince George-based Touchstone Bankshares in an all-stock transaction worth approximately $47 million, First National announced Tuesday.

The parent companies’ merger combines community banks First Bank and Touchstone Bank to create a bank with expected total assets of about $2.1 billion, $1.5 billion in loans and $1.8 billion in deposits. The resulting company is expected to be the ninth largest Virginia community bank by deposits.

The combined company will have 30 branch offices across Virginia and two branches in North Carolina.

“We are thrilled to have found a partner with an equally long history of serving and supporting local customers and businesses in their communities,” First National President and CEO Scott Harvard said in a statement. “Combining our companies will help ensure that we continue to be part of the fabric of the communities we serve. … We are incredibly excited about this opportunity to expand our Richmond metro presence with the addition of seven branches in the market, and we look forward to welcoming the entire Touchstone team into the First Bank family.”

In the metro Richmond area, where it’s expected to have eight branches, the combined company’s deposits are expected to exceed $350 million.

According to the terms of the agreement, Touchstone shareholders will receive 0.8122 shares of First National stock for each share of Touchstone stock. Based on First National’s closing stock price of $17.55 on March 22, the deal’s approximate aggregate value is $47 million, or $14.25 per share of Touchstone stock.

“First National is a like-minded partner that shares our culture of supporting our communities by focusing on building meaningful relationships and personalized service to their customers,” Touchstone President and CEO James Black said in a statement. “We are enthusiastic about the opportunity to partner with First National in a transaction that we believe offers significant opportunities to our clients, communities, employees and shareholders.”

The companies’ boards of directors have unanimously approved the merger agreement. The transaction is expected to close in the fourth quarter, subject to shareholder and regulatory approvals.

First National and First Bank will appoint three Touchstone directors to join the existing nine directors on each board. Black will join First Bank as an executive vice president and south region president.

Founded in 1906 as Bank of Dinwiddie, Touchstone currently has 12 branches across the metro Richmond area, south Central Virginia and northern North Carolina. As of Dec. 31, 2023, Touchstone reported total assets of $658.7 million, gross loans of $508.8 million and total deposits of $542.2 million.

First National is the holding company of First Bank, which opened in 1907. The company has 20 bank branches throughout the Shenandoah Valley, Central Virginia and the Roanoke Valley, as well as a customer service center in a retirement community and a loan production office. First Bank also operates First Bank Wealth Management and owns First Bank Financial Services, which invests in investment service and title insurance providers.

Atlantic Union names new Hampton Roads president

Richmond-based Atlantic Union Bank has named Lisa Morgan its new Hampton Roads market president, the Richmond-based bank announced Monday.

Morgan will also continue to hold the role of wealth relationship director with the bank’s wealth consulting group, a position she has held since she joined Atlantic Union Bank in 2021. Morgan will be the first female market president in the bank’s history.

Morgan succeeds Andy Hodge, who will continue to serve as the bank’s group president of middle market and corporate banking. As market president, Morgan will serve as regional liaison to partners in the Hampton Roads region, covering Chesapeake, Hampton, Newport News, Norfolk, Portsmouth, Poquoson, Suffolk, Virginia Beach and Williamsburg.

“Lisa is the kind of banker you want on your side because she genuinely loves working with and learning about the people she serves,” Dave Ring, executive vice president of wholesale banking and wealth management, said in a statement. “She’s passionate about her work and wants to know each customer’s story so she can better help them achieve their financial goals.”

Before joining Atlantic Union Bank, Morgan spent three years with Wells Fargo Private Bank. She was a senior vice president and wealth adviser, according to her LinkedIn profile. Before that, Morgan worked with PNC’s Private Bank Hawthorn, providing family wealth management, for seven years.

Morgan holds a bachelor’s degree in merchandising from Ohio State University.

Atlantic Union Bank has 109 branches and 123 ATMs throughout Virginia and in parts of Maryland and North Carolina.

Atlantic Union Bankshares, the bank’s holding company, is set to acquire Danville-based American National Bankshares, the holding company of American National Bank and Trust. The company received the last regulatory approval needed for the merger in February, and the deal is set to close on April 1. The merger is expected to create a bank with total assets of $24.2 billion as of Dec. 31, 2023, $18.5 billion in deposits and gross loans of $16.5 billion.