GULFPORT, Miss., June 1, 2007 (PRIME NEWSWIRE) -- With today's official start of the 2007 Atlantic hurricane season, Gulf Coast businesses from Brownsville to Miami are bustling with just-in-case preparations. At Hancock Bank - headquartered in one of the regions hardest hit by Hurricane Katrina - storm readiness includes lessons learned from America's worst natural disaster, multi-level back-ups for customer service infrastructures, and a state-of-the-art technology center 10 miles inland, nearly 50 feet above sea level, and able to operate independently of commercial utilities for 30 days.
"We used our Katrina experiences and best-practice standards to design a technology center integral to our comprehensive business continuity plan, fine-tune our recovery time objectives, and, ultimately, maximize service levels when customers need us the most," said D. Shane Loper, chief operations officer for the 108-year-old Gulf South financial services company.
Hancock's business recovery manager, David Lott, added that the company's recovery plan comprises myriad initiatives to help Hancock's 150-plus banking and financial services offices assist customers in a storm crisis. Hancock has mirrored core computer systems through contracted vendors outside hurricane prone areas, duplicated and decentralized customer call centers and document processing sites, constructed redundant telecommunications channels, enhanced Internet banking, and mapped out a progressive "lighthouse branch" and ATM plan for evacuations.
Pre-arranged food, shelter, and fuel contracts and automated notification and information hotlines for associates will strengthen Hancock's self-sufficiency, help associates prepare for storms, and keep associates better informed during and after a hurricane.
"Hancock was founded on an unwavering commitment to the people and places we serve. We have proactively built and successfully tested an all-inclusive business continuity plan that focuses directly on our associates' safety and customers' needs. We are ready for the 2007 storm season," said Lott.
Out of Harm's Way - The Hancock Technology Center
Katrina damages totaled more than $50 million at 59 of 155 Hancock facilities in four states, including One Hancock Plaza - the 15-story downtown Gulfport corporate tower that housed many of the company's critical operations. Hancock has restored and reoccupied One Hancock Plaza and 54 other storm damaged locations; and, in late June 2007, the company's essential operations units will move in to a 37,390-square-foot CrossCreek technology center near Interstate 10. When a storm enters the Gulf of Mexico, the center will become a secure command post for pre-established teams assigned to sustain crucial operations based on projected storm paths and impact.
"We learned valuable lessons from Katrina. The Hancock Bank technology center embodies that knowledge and represents countless hours of teamwork among our associates, designers, architects, contractors, builders, vendors, and business partners - all of whom share the responsibility to make certain Hancock's operations remain seamless if another storm threatens our area," said Loper.
Dubbed a "fortress" in local media, the $16 million center is built to endure. Reinforced concrete walls are eight inches thick. The roof consists of an additional seven inches of poured concrete that adapts to wind speed and direction and resists winds of 200 mph (the equivalent of an F-3 tornado). The computer room and network operations center rests on 5,400 square feet of raised flooring cooled by duplicate air units and pump systems circulating a continuous flow of chilled water from an 8,000-gallon tank. Should commercial power fail, an uninterruptible power system (UPS) works automatically in concert with the building's electrical system to ensure constant power. A 25,000-gallon on-site tank provides fuel for dual 820-kilowatt emergency standby diesel generators.
Hancock has also outfitted alternate work-area recovery sites in central Mississippi and Louisiana with emergency power supplies and communications equipment to carry on back-office operations for the company's entire four-state market, if necessary. Three different regional processing centers record checks and other paper transactions and support uninterrupted check image and image statement production and delivery from several different locations in the continental United States.
Forty years ago, as the banking industry entered the computer age, Hancock Bank pioneered a milestone technology project by building another first-of-its-kind South Mississippi data processing center staffed by highly-trained Hancock associates.
Lighthouse Branches - Beacons to Safety
When a hurricane strikes, cash immediately reigns as the preferred, and often, sole means of payment. Hancock's business continuity framework provides customers access to essential cash before and after a storm. Special "lighthouse branches" located strategically throughout storm-vulnerable markets and outfitted with generators and other emergency equipment will operate on a staggered schedule during evacuation and maintain essential banking functions after a storm. Lott said the lighthouse branch network parallels major evacuation corridors in Hancock's markets.
"Hancock has had a 'last-to-close-first-to-open' philosophy when storms affect the communities we serve since 1899. We stay in very close contact with civil defense leaders and national weather information systems for up-to-the-minute reports. Based on that information, we evaluate the potential threat or impact in particular markets and structure business hours at selected branches along the evacuation routes to correspond with anticipated travel patterns in the storm zone," said Lott.
Additionally, the company's 130-plus ATMs will remain stocked and functional as long as weather conditions allow and commercial power supplies remain available and can resume operations within four hours of restored power.
"Immediately restoring ATM, branch, and online banking functions is a major objective in our plan. Since implementing replication of our computer systems, we have rigorously tested and met that objective," Lott emphasized.
Communication - The Recovery Advantage
Hancock depends on telecommunications for timely transactions and accurate information. Through a new multi-protocol label switching (MPLS) strategy, the company's business continuity plan prevents any single point of failure that might create widespread telecommunications outages. Alternate communications services back up cash management and wire transfer services. Decentralized, replicated call centers will field incoming and outgoing customer calls and provide better telephone banking services. A remote web site host will give customers 24-hour access to account information, online banking, and important notices at www.hancockbank.com during and after a disaster with virtually no downtime.
"Whether customers are evacuating or returning, they need access to Internet banking and important information on the Hancock web site. Our internal systems now support that accessibility with enhanced online banking, duplicate call centers, and improved employee communication systems," said Loper.
An integrated automated telephone alert system labeled "Alert-24" regularly notifies each Hancock associate of business operations decisions and storm status by calling an associate at office, home, and cell phone numbers he or she updates through an internal human resources information system. A disaster recovery hotline specifically for Hancock associates helps associates report their evacuation plans, special needs, and post-storm circumstances.
Lott said, "Businesses affected by Katrina have had to change the way we think about the communications options we often take for granted on a daily basis. Our storm response and recovery tactics incorporate reliable, multi-faceted communications channels for associates and customers, regardless of external circumstances."
About Hancock Bank
Hancock Bank was founded on October 9, 1899, on principles of honor and integrity, strength and stability, commitment to service, teamwork, and personal responsibility. Hancock Holding Company (Nasdaq:HBHC) - parent company of Hancock Bank of Alabama, Hancock Bank Mississippi, Hancock Bank of Florida, and Hancock Bank of Louisiana - has assets of more than $6 billion. Bank subsidiaries include Hancock Investment Services, Inc., Hancock Insurance Agency, and Harrison Finance Company. Additionally, the company operates corporate trust offices in Gulfport, Jackson, MS, New Orleans, and Baton Rouge.
Hancock is the only financial services company headquartered in the Gulf South to rate among the top 20 percent of America's top-performing banks and consistently ranks as one of the country's strongest, safest financial institutions, according to Veribanc, Inc., and BauerFinancial Services, Inc. Thomson Financial also listed Hancock as the ninth largest corporate trustee bank in the United States.
More corporate information and online banking are available at www.hancockbank.com.
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