BMO looks to aggressively expand its business in Alberta

$100-million investment in the province

BMO Bank of Montreal has created an Alberta and NWT division in Calgary as it seeks to “aggressively” grow its business in the province, the Herald has learned.
Robert Hayes, senior vice-president, Alberta & NWT division, personal and commercial banking for BMO, said the bank will be making a $100-million total investment in the Alberta branch network with new and renovated branches between 2011-2014.
“When I talk to customers, whether they’re personal customers or they’re business customers, I can sense that enthusiasm if you will that is back again when you’re talking to people about the province of Alberta and how successful we think we’re going to be,” said Hayes.
“We’re starting to see, I would say, greater capital spending from our business customer base out there versus a propensity to perhaps save a little bit more two, three years ago. So I’m really bullish.”
BMO has about 110 branches in the division, with two of them in NWT. The new division put two executives in charge of its retail personal banking operations — one in Calgary and one in Edmonton. It also has two executives in the commercial banking area.
“We’re looking to more aggressively grow both our commercial and our retail force out here,” said Hayes.
“I’ve added a ton of senior leadership that knows the province and is excited about what the province holds for us in the future.”
The division had three new branches in 2011 and six new ones in 2012. Two are opening in 2013. Hayes said five branches were renovated in 2011 with another five in 2012.
“We’re willing to invest because we believe that this is a great opportunity here in the province of Alberta,” said Hayes.
Bruce Graham, president and chief executive of Calgary Economic Development, said BMO’s expansion in Calgary is an indication of a growing financial services sector in the city.
“I think that’s aligned with the increasing importance and the increasing opportunity that Calgary and Western Canada presents to financial institutions,” said Graham.
“From our perspective, we’ve been focused on growing this segment of our marketplace and we believe that the opportunities are there … Quite frankly, with the headquarter base that’s in this city, with the capital requirements for the energy industry and all the related pipeline, infrastructure activity, I think it demands a stronger presence from our Canadian financial institutions in this city.”
BMO is actively looking to increase its workforce in Alberta and Hayes has put together a special human resources team with some of his people and corporate headquarters in Toronto that will focus on hiring talent for the Alberta market.
BMO sees great opportunities to gain customers in the small business segment and with aboriginal banking in the province as well.