Daily Business Report — Jan. 20, 2012
L.A.-Based Bank Takes California Community Bank
California Community Bank, which operates four banking offices in San Diego County, is being acquired by Los Angeles-based Grandpoint Capital Inc. for $30 million, plus an amount equal to California Community Bank’s adjusted net income as of closing Thursday. California Community had total assets of $243.8 million on Dec. 31. California Community Bank will be merged with and into a subsidiary of Grandpoint. The acquisition is expected to be completed in third quarter 2012. “This is an exciting opportunity for Cal Community,” said Larry Hartwig, chief executive officer of California Community Bank. “The merger with Grandpoint will provide us with capital resources that will support new growth and expanded products and services for our customers. Because we share a similar operating philosophy and corporate culture, Grandpoint is an excellent match for us.”
In September 2011, Grandpoint Capital announced an agreement to acquire Regents Bancshares and its subsidiary, La Jolla-based Regents Bank, which has four offices in San Diego County. That transaction has been approved by the Federal Reserve and is expected to close before the end of January. Following the acquisition, Regents Bank will become a wholly owned subsidiary of Grandpoint Capital and will continue to operate under its existing name with its current management and staff. “Once Regents becomes a subsidiary of Grandpoint Capital, we plan to have Regents complete the acquisition of Cal Community and merge their operations into Regents,” said Don M. Griffith, chairman and chief executive officer of Grandpoint Capital. Regents Bank Chairman Thomas Young and CEO Dan Yates will continue to serve in those positions for the combined entity following the merger with Cal Community.
California Community Bank opened in August 2003. The bank is headquartered in Escondido and operates four branches — in Escondido, Encinitas, San Diego and Vista.
County Unemployment Rate Declines
Nonfarm employment up 4,100 jobs over the month and up 26,900 jobs over the year
The unemployment rate in the San Diego County was 8.9 percent in December — down from a revised 9.2 percent in November and below the year-ago estimate of 10.1 percent, the state Employment Development Department reported today. This compares with an unadjusted unemployment rate of 10.9 percent for California and 8.3 percent for the nation during the same period.
Between November and December:
Total nonfarm employment increased from 1,256,900 to 1,261,000, a gain of 4,100 jobs. Agricultural employment declined by 800 jobs, or 8.2 percent. Professional and business services reported the greatest month-over gain, adding 1,900 jobs. Professional, scientific, and technical services added 1,200 jobs, while administrative and support and waste services increased by 700 jobs. Management of companies and enterprises recorded no change in employment levels over the month. Five other sectors also posted month-over employment growth: trade, transportation, and utilities (up 1,600); leisure and hospitality (up 1,300); construction (up 900); other services (up 800); and information (up 100). Four nonfarm sectors recorded job losses over the month, but the most notable came from government (down 1,300).
Between December 2010 and December 2011:
Total nonfarm employment increased by 26,900 jobs, or 2.2 percent. Agricultural employment remained unchanged over the year. Educational and health services reported the greatest year-over gain, adding 8,000 jobs. Health care and social assistance (up 7,000) accounted for roughly 88 percent of the job growth in this sector, primarily from ambulatory health care services (up 4,400) and hospitals (up 1,200). Educational services increased by 1,000 jobs. Six other sectors also added jobs over the year, but the most significant gains came from professional and business services (up 7,900); leisure and hospitality (up 6,700); and trade, transportation, and utilities (up 4,400). Three sectors posted year-over job losses: other services (down 1,100), construction (down 300), and manufacturing (down 100).
Callout for Golden Watchdog and Fleece Awards Nominations
The San Diego Taxpayers Association is soliciting nominations for the 17th annual Golden Watchdog and Fleece Awards, which recognize the best and worst of local government efficiency, spending and decision-making during 2011. The winners will be announced May 16 at SDTA’s annual awards dinner at the Town and Country Resort & Convention Center in Mission Valley. Deadline for nominations is Feb. 8.
Award categories include:
• The Golden Watchdog Award honoring good government practices and efficient use of public money.
• The dreaded Golden Fleece Award calling out wasteful, inefficient or downright absurd uses of taxpayer dollars.
• The Media Watchdog Award recognizing excellence in reporting on behalf of taxpayers.
• The Public-Private Partnership Award for cooperation between the public and private sectors, stretching taxpayer dollars.
Over a dozen “fleece” and “watchdog” award recipients were recognized in 2011.
Submit nominations online at sdcta.org. For more, call Brianna Shannon at (619) 234-6423.
Carol Wallace Joins U.S. Travel and Tourism Advisory Board
Carol Wallace, president and CEO of the San Diego Convention Center Corp., has been sworn in as a member of the U.S. Travel and Tourism Advisory Board by U.S. Secretary of Commerce John Bryson. She and 31 other new members were sworn in during ceremonies in Washington, D.C. The board was created in 2003 to report on challenges faced by the travel and tourism industry and what the federal government can do to help strengthen the sector. “I’m honored to lend my expertise to help strengthen the international travel and tourism market, a sector so vital to the national economy,” said Wallace. “In San Diego, tourism is also the lifeblood of our local economy and our region’s third leading industry.” Travel and tourism is a $1.2 trillion sector of the U.S. economy or nearly 3 percent of Gross Domestic Product.Wallace led the San Diego Convention Center Corp. since 1991.
The Daily Business Report is produced by REP Publishing Inc., publisher of SD METRO, the North Park News and the West Coast Craftsman. Contact: Manny Cruz (619) 287-1865.