Financial institutions have processed more than $1.45 billion in Payroll Protection Program loan-grants for Delaware companies.
The PPP program partially or totally forgives loans to companies and organizations that retain employees during the coronavirus crisis.
While under the general auspices of the U.S. Small Business Administration, bank loan officers were tasked with processing applications. Bank personnel worked seven-day weeks, often from home.
According to recent figures from the SBA, Delaware loans totaled 11,427, with total volume at $1,455,089,694. The figures were roughly in line with the size of the state.
At one point during the controversial first phase of the PPP program, the state ranked last among the 50 states in loan volume.
The latest figures are not final as some Round 2 money is said to be available.
Among the state’s largest banks:
- WSFS Bank reported 2,036 Delaware loans totaling $401 million.
- M&T Bank reported 2, 391 totaling $370.5. million. M&T noted that the average loan size was $155,000, with proceeds supporting 37,809 jobs.
- JPMorgan Chase, a newcomer in the small business lending area in Delaware reported do have data that I can share on our PPP loan numbers, but it is from a month ago more than 60 loans JPMorgan Chase is the state’s largest for-profit private employer.
- PNC registered nearly 1,100 loans with the SBA on behalf of its small business customers in Delaware, totaling nearly $154 million.
Among smaller financial institutions in Delaware:
- Applied Bank reported approximately 70 loans totaling $20 million.
- Shore United Bank handled the highest percentage of small PPPs loan proceeds, with 190 Delaware loans totaling $18.6 million. The bulk of Shore United’s offices are on the Eastern Shore of Maryland. Loan volume in its market area totaled 1,300 loans totaling $121 million.
- Del-One Federal Credit Union worked with 17 local businesses in acquiring $640,000 in funding.
Other banks did not immediately respond to requests for information on PPP loan volume and the number of loans.
The program came under fire in its first phase as many banks put customers with checking accounts and loan relationships at the front of the line.
Wells Fargo, one of Delaware’s largest business lenders, announced in early May it has been under scrutiny for its practices related to the program.
Publicly traded companies with greater resources and strong lending relationships moved quickly to tap into the loans. Some national companies, including Shake Shack and the Ruths Chris steakhouse chain, returned the loan proceeds after intense criticism.
The second phase drew less criticism with a portion of PPP funds allocated for community banks. Online based financial technology (fintech) companies also handled applications.
Businesses, including restaurants, have been asking for more flexibility in their use of PPP proceeds