When Robert T. Gormley joined Citizens Bank in 1993, the company had $5 billion in assets and was a distant second to Fleet Bank in the Rhode Island market. Now, as he prepares to retire this July from his post as vice chairman at Citizens Financial Group Inc., the bank has $161 billion in assets and more than 1,600 branches in 13 states.
Gormley says he is looking forward to traveling and spending more time with his grandchildren. But he’s not leaving Citizens altogether. He will remain as a consultant to the bank and its corporate parent, the Royal Bank of Scotland Plc, and will continue his philanthropic and public-policy work.
PBN: You were last featured in this space in 2000. Since then, what is the most significant change you’ve seen?
GORMLEY: Going back seven years ago, I think I was probably the president of the Rhode Island [division of Citizens] at that time, and we had just emerged as probably the largest bank in Rhode Island. … We’ve continued our growth in Rhode Island to the point where we have by far the largest market share in this state. More importantly, we’ve continued to be a community leader … As someone who grew up in Providence, [it] is a far different place than it was when I was growing up, and I think a better place. [There are] a few more issues we need to continue to work on, but I think there are a lot of positives.
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PBN: What kind of issues?
GORMLEY: Primarily still fiscal issues. I think the city and the state both have budget issues that are pretty well-chronicled at this point. There are, I think, hard decisions that need to be made to help to cure those over time. I would be hopeful that those tough decisions will be made, and that should allow the city and state to continue to go forward.
PBN: Looking back on it now, how much of a risk was it going from Fleet to Citizens?
GORMLEY: Well, it was a big move at the time. I had worked at Fleet for 24 years. I actually started working at Fleet when I was in college, but I had been transferred over to Connecticut the last five years I was there. Fleet had undergone a lot of growth. It seemed unlikely to me that I was going to get a chance to return to Rhode Island, where my roots are. Lo and behold, Citizens came along. Obviously we were a much smaller company in those days, but it was a growth story – it was an opportunity to be part of that. There’s always some risk when you make a move, but it just felt like the right time in my life to do it. And it’s obviously worked real well, much better than my expectations.
PBN: What appealed to you about Citizens?
GORMLEY: I was really recruited to help to build a commercial business – it’s always, I think, challenging and enjoyable to have a challenge like that where you’re going to be building a business. So it’s been nice to see that … Financial success I think is always important to everyone, but to me it was less important than the real opportunity to join a growth company where I liked the values and where I liked the people. And it’s been a great run. It was the luckiest decision I ever made – smart or lucky.
PBN: What do you expect the market to look like five to seven years from now?
GORMLEY: I’m optimistic that Providence and Rhode Island can continue to flourish. I’m certainly optimistic that Citizens will continue to flourish. I think, as far as the banking business is concerned, we won’t see [substantial] consolidation because that’s already happened in Rhode Island – banking consolidation. But I think the market, if the economy can continue to improve, it will be good for the banking business; it’ll be good for everyone in Rhode Island.
PBN: You’re very involved in the community. Why is that important to you?
GORMLEY: I think that everyone should want to feel like they can help their community. … One of the things I’ll look forward to in retirement is I might have a little more time to do that. … The stronger community means much better things: better schools, more growth, more economic vitality. I have children that are growing up and grandchildren that are growing up in Rhode Island, so I’d like the city and state to do as well as it can.
PBN: Is there a particular area on which you’d like to concentrate?
GORMLEY: I think I’ll continue to help The Providence Foundation. There are still a lot of things going on in Providence – I’m still part of the [R.I.] Economic Policy Council.
The more … we can do to help the overall economy and help with some of the fiscal challenges, then the better for the long-term future of the state and the city. So I’ll be happy to try and do that.
Position: Vice chairman of risk management, Citizens Financial Group Inc.
Background: Since 2001, Gormley has overseen risk management at Citizens, where he created the risk structure needed to comply with Sarbanes-Oxley and Basel II requirements and also has overseen credit transactions, compliance and operational risk, among other things. He previously had served as president and CEO of the group’s Citizens Banks of Rhode Island and Connecticut, and as chairman, president and CEO of the New Hampshire bank.
He joined Citizens Financial in 1993, charged with building the commercial lending division. Prior to that, he had worked for Fleet Bank for nearly 24 years.
Gormley also serves on the R.I. Economic Policy Council, the Providence Foundation, Junior Achievement of Rhode Island’s CEO Advisory Committee, the Providence College President’s Council and the Greater Providence YMCA board.
Education: B.S. in finance, 1970, Providence College
Age: 59
Residence: North Kingstown
