When the Great Recession hit Georgia’s economy eight years ago and stalled home sales and most new development, Synovus Financial Corp., was left with hundreds of delinquent commercial and real estate loans that ultimately cost the Columbus, Ga., banking company more than $3 billion in losses over the next three years.
By 2009, Synovus was named as one of the biggest of more than 150 U.S. lenders that had more than 5 percent of its holdings in nonperforming loans.
But aided by $968 million in loans from the Troubled Asset Relief Corp., a prolonged effort to work with delinquent borrowers to repay their borrowings and a staff and branch pruning to cut costs, Synovus has recovered from the financial crisis with both a stronger balance sheet and a stronger brand.
The banking giant operates 28 banks across five states, including Cohutta Banking Co. in Chattanooga. Although most of the local banks operate under their own name, the Synovus brand has emerged with what American Banker magazine said last month was one of the strongest brands in the industry.
In its annual survey of bank reputations, American Banker magazine and the Reputation Institute ranked Synovus No. 2 among the 33 banks included in the survey. Synovus was one of four banks in the top 10 among both customers and noncustomers and was featured on the cover of the July issue of American Banker.