First Federal CEO: Plans to close Destin, DeFuniak Springs Bank of Bonifay branches

BONIFAY — The new owners of the Bank of Bonifay will close two branches of the bank within 30 days. President and Chief Executive Officer of First Federal Bank of Florida Keith C. Leibfried discussed the purchase of BOB in an interview Tuesday afternoon.

Leibfried said the Destin and DeFuniak Springs branches would be closed within 30 days, with branches in Bonifay, Chipley and Marianna remaining open.

“They really didn’t fit into our plans,” he said of the two offices to be closed.

First Federal Bank of Florida acquired deposits of The Bank of Bonifay Friday through a purchase and assumption agreement with the Federal Deposit Insurance Corporation. As a result of the transaction, First Federal Bank of Florida acquired certain assets and liabilities including all deposit accounts and selected loans of The Bank of Bonifay.

Leibfried noted that FFBF opened as a saving and loan in 1962 in Live Oak, and many of the bank’s branches are in small towns and communities, and this is the kind of business atmosphere that attracted FFBF to the Panhandle.

“We’ve always believed in building our banks on core relationships,” Leibfried said. “When the Bank of Bonifay became available we saw a lot of good core relationships and market share in small towns and rural markets. We can relate to small communities.”

Leibfried also said the FFBF is not a “one-product” bank.

The three surviving branches will remain open under the name Bank of Bonifay.

“It has a lot more value by retaining the name,” Leibfried said.

Leibfried said the new owners plan to continue building good core business relationships, and there a not very many staff changes planned except at the branches being closed.

“One observation we made is that we see a lot of value to their capabilities,” Leibfried said. “There may be some displacement and that would be unfortunate, but there could also be opportunities at other locations.”