2021 CSBS Community Bank Case Study Competition Journal

SECOND PLACE: University of Arkansas

Part III: Diversity, Inclusion, and Economic Fairness Diversity, inclusion, and economic fairness have been an integral part of Southern Bancorp’s mission since its founding in 1986. Over the past decade, as shown in Table 4, SBB has been operating in several regions in Arkansas and Mississippi where Blacks comprise a majority of the population and chronic poverty is prevalent. According to Mr. Williams, SBB serves 16 markets where SBB is one of two banks in town. In six markets, they are the only bank in town. There are countless stories of the bank serving people in their community. Vernetha Jackson, a Black woman in her early sixties from Helena- West Helena, Arkansas is a prime example. Mrs. Jackson had been renting a home for her entire adult life while working two jobs, one in the local school district as a bus driver and the other as a nurse, to be able to afford her rent. Ms. Jackson walked into her local Southern Bancorp Bank branch hoping to get a home loan, but she nearly left discouraged

the pandemic comes from April 3, 2020, when a small Black-owned radio station requested a PPP loan of a mere $8,000. It was the first day of PPP lending, and as many large banks were unprepared to move forward and waiting for more details on this new federal stimulus, SBB was doing what it does best—making capital available to the people who need it most. In the first 24 hours that PPP lending was available, SBB processed $16 million worth of applications. SBB was able to process the application quickly and keep the radio station afloat during the pandemic. Though this loan may seem insignificant, given that the average PPP loan in April 2020 was roughly $206,000 6 , it was stories like these that got Darrin Williams, CEO of SBB, front and center in the national spotlight and a seat at the table with President Trump. Along with SBB’s actions to help protect the community during the pandemic, the bank continues to extend assistance to those in need by prioritizing equality and diversity within its organization.

Table 4. Demographic Information within SBB’s Target Market

White Population

Black Population

Median Household Income

Persons in Poverty

Region

72.0%

15.7%

$47,597.00

16.2%

State of Arkansas

28.8% 21.5%

62.4% 77.2%

$38,765.00 $22,177.00

27.1% 45.2%

Blytheville

Helena-West Helena

State of Mississippi

56.4%

37.8%

$45,081.00

19.6%

16.0% 16.6%

81.7% 81.8%

$27,025.00 $30,223.00

37.3% 35.7%

Greenville

Clarksdale

Source: United States Census Bureau Note: Median household income is the average from 2015 to 2019 expressed in 2019 dollars.

31