In Your Corner Magazine | Spring 2024

ISSUE 16 | 2024

The economic edge Why businesses thrive in California

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In this issue ISSUE 16 | 2024

GOLDEN OPPORTUNITIES Tackling the myth: Is California good for business? CALIFORNIA CHRONICLES Noted author and historian defines the Golden State A BANK FOR ALL AGES AND STAGES Personal approach wins over CB&T’s most dedicated clients HOW TO NAVIGATE A SAFE JOURNEY Avoid travel fraud schemes this spring BUILDING A CD LADDER How to optimize high interest rates on your savings DECADES OF DEDICATION Meet three of CB&T’s longest-serving champions FROM BEANS TO DREAMS Strong alliance brews a flavorful success story

EMPOWERING EVERY STAGE Learn a lifetime of financial knowledge

COMFORT KEEPERS San Diego agency provides comfort, compassion and care BLUE BOWL SUPERFOODS How one army veteran is disrupting the acai market THE RIND Gourmet haven redefines wine and cheese delights

TAKE 5 Q&A with Fernando “Fred” Zago, Senior Vice President and Manager, Greater Southern California region, California Bank & Trust

PUBLISHER California Bank & Trust (CB&T) EVP | DIRECTOR OF MARKETING Jathan Segur

COMMUNICATIONS OFFICER | MANAGING EDITOR Tom Stacey

MAGAZINE CONSULTANT Michelle Jacoby

VP | FEATURES EDITOR Kathryn Guinn

CONTRIBUTORS Aram Anthony, Julia De Simone, Bruce Farr, Debra Gelbart, Jake Poinier

VP | CREATIVE DIRECTOR Ron Gligic

SENIOR DESIGNERS Nathan Joseph and Diana Ramos

In Your Corner magazine may contain trademarks or trade names owned by parties who are not affiliated with California Bank & Trust, Zions Bancorporation, N.A. or its affiliates. Use of such marks does not imply any sponsorship by or affiliation with third parties, and California Bank & Trust does not claim any ownership of or make representations about products and services offered under or associated with such marks. Articles are offered for informational purposes only and should not be construed as tax, legal, financial or business advice. Please contact a professional about your specific needs and advice.

Golden opportunities Tackling the myth that California isn’t good for business BY BRUCE FARR

IN YOUR CORNER ISSUE 16 | 2024

C ALIFORNIA’S STATE MOTTO is “Eureka!” (Greek for “I found it!”). This begs the question: What did you find? Any of us who live here will tell you: We found our slice of paradise, a place where we can thrive and prosper. Many of us might argue it’s the best place in the world to live. And yet, the notion persists that California is not a good place to do business. When did this become conventional wisdom in some quarters? Could it be envy (understandable, right?) or is it based on hard facts? Let’s take a closer look. State’s economy There’s no disputing California’s elevated economic standing in the country or, for that matter, the world. While it’s obvious to most how vast and diverse the

state is, it’s still a revelation to many that California’s economy—with its $3.6 trillion gross state product (GSP) in 2022—isn’t only the largest of any state in the country, it’s also is the largest sub-national economy in the world. That’s to say, if California were its own nation, it would rank as the world’s fifth-largest economy, larger than that of Great Britain’s. Nor is there any question about California’s leadership in key economic metrics including technology, finance, agriculture, shipping and trade, media, business services and manufacturing. This leadership adds to the state’s prominent reputation, both domestically and abroad, as sort of an economic unicorn among states. But even the most robust economies can fall prey to economic trends and government policies that have an impact on their prosperity. While California hasn’t been immune to these circumstances, it certainly has shown

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its resiliency and unbreaking ability to not only bounce back, but to also flourish and succeed. California in the crosshairs Admittedly, there are more regulations on California businesses than in many other states. And to some degree, California’s status as a liberal enclave— politically, culturally and economically—has long

index measures 15 state policy ‘variables,’ such as top marginal income tax rates, property taxes, public employees per capita, state minimum wage, right- to-work law and whether there’s an estate tax.” In keeping with the Laffer Index’s conservative bent, what a state presumably has to do in order to rank high in all these factors is maintain low taxes, keep government small, practice anti-union policies and jettison estate taxes. Predictably, this index’s ranking of California is rather dismal. Although the state’s Economic Performance Rank comes in at a respectable 19th in the nation, another key measure of the index, the Economic Outlook Rank, places California near the bottom of the country, at 48th. That assessment begs the question a recent headline in the Los Angeles Times asked, however. “If California is such an ‘anti-business’ state, then why is its economy booming?” According to the Times, although several business-assessment measures (including the Laffer index, with its biases) label California as one of the worst states to do business in, it’s these measurement tools’ criteria that are faulty. In fact, the four states cited as the “friendliest” and “most successful” states in which to do business—Florida, Tennessee, North Carolina and Texas—all fared worse in terms of state economic growth than California. California actually outpaced all these states, often by large margins. The Times article sums up thusly: “Many of the [critical studies’] particulars don’t have much to do with economic potential in the real world. The rankings favor states with low taxes and little regulation. They give states high marks for low minimum wages and

made it a target for conservative pundits who’ve taken aim at this regulatory burden. We’ve all heard about businesses leaving the state in record numbers. For instance, a June 2023 report commissioned

California’s economy isn’t only the largest of any state in the country, it’s also is the largest sub-national economy in the world.

by the Los Angeles Area Chamber of Commerce stated: “…businesses continue to leave California… for more business-friendly states because of the lack of affordable housing, cost of living, high taxes and stringent regulatory environment.” But the question of whether state policies affect, negatively or positively, California’s business climate can draw even the most astute policy wonks into a deep rabbit hole. Consider, for example, the American Legislative Exchange Council (ALEC), deemed one of the preeminent “business-friendly” think tanks in the country. Funded in large part by the libertarian Koch Brothers, ALEC’s “Laffer State Economic Index” is considered a key measure of conservative economic thinking and reporting. As described by the Los Angeles Times, “The [Laffer]

IN YOUR CORNER ISSUE 16 | 2024

low-staffed, if not understaffed, public services, as well as right-to-work laws, an obstacle to unionization.” Indeed, when another researcher in the field measured the ALEC rankings for all 50 states against their economic growth, he found that, if anything, a higher index score correlates with a “worse economic performance.” Why California? The question remains: Is California a good place to start or run a business? According to Business Finance Capital (BFC), a Los Angeles-based Small Business Administration Certified Development Company, the answer is a resounding yes. In fact, 99.98% of California businesses are categorized as small businesses, and they make up an impressive 48.8% of the state’s workforce. As BFC points out, California ranks No. 1 in terms of innovation and technology, as well as access to business capital. The company cites four specific reasons why California provides such a favorable climate for small business: Large population – California hosts a substantial pool of workers, a diverse customer base, and ready access to a wide professional network of business partners (lawyers, consultants, accountants, etc.). Diverse and productive economy – From 2012 to 2022, for example, the state’s Gross Domestic Product (GDP) grew at an annualized rate of 2.4%. That GDP spells low unemployment and greater disposable income, which leads to more sales and greater profitability. Business resources – California’s abundant business-focused resources and programs are among

the nation’s most robust network of organizations dedicated to aiding small-business development. Strong infrastructure – The state’s transportations systems, access to broadband and other digital services, and investment in capital assets that support core state functions (state office buildings, fire and emergency services and courts) all provide small businesses a valuable framework for running efficiently and competitively. The business of air quality Beyond these critical, business-centered advantages, though, some of the state’s most controversial—and often criticized—policies and practices are precisely

those that offer businesses of all sizes a more favorable climate in which to operate. State air-quality laws and legislation—a hot-button issue for the pros and cons of California business performance—offer a prime case in point. There’s no question that California has long been a leader in innovative air-quality policy in the U.S. The state’s unique geography,

California ranks No. 1 in terms of innovation and technology, as well as access to business capital. BUSINESS FINANCE CAPITAL

weather and population greatly impact air quality and the subsequent regulations put into place to protect it. But critics of the state’s anti-pollution policies are quick to condemn them as “burdensome” to business. Much of that criticism tends to overlook how undesirable the state would be if it didn’t enforce strict air-quality regulations. In fact, California’s long history of commitment to climate and air-quality management

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harks back more than 120 years to 1903, when air pollution measures were first introduced to address horrible smoke emissions in California’s booming industrialized cities. Since then, continuous legislation to address the state’s air quality has been passed into law, culminating in the 2018 Coalition for Clean Air, a statewide organization working exclusively on air quality issues. To what effect? Wayne B. Gray is an economics professor at Clark University in Worcester, Massachusetts, whose research is focused on the economic impact of government environmental regulations. A few years ago,

survey asked respondents to report on what made them hopeful about California’s future directions, where the state could invest more, and how well policymakers understood and acted on the biggest threats facing the state. The results clearly showed that the respondents are bullish about the future of California’s innovation ecosystem. But, at the same time, they see several important areas for improvement. Their key priorities include: 1) investing in research and technology to solve big problems facing the state, particularly with respect to climate change; 2) investing more in advanced tech manufacturing; 3) increasing investments in new areas of the state, particularly in places with higher educational institutions and research assets; 4) investing in racial and gender equity to unleash the state’s innovation potential; and 5) increasing the expertise of state government with respect to science and technology, including tech policy. In his State of the State address last spring, Governor Gavin Newsom summarized his administration’s California roadmap, particularly in those areas that impact California’s economy and business climate. He said, “We are doing the hard work that will set the course for California’s future—remaking our system of public education; building more housing faster; increasing access to quality, affordable health care; protecting our climate; ensuring public safety; and investing in new industries that will change the world we live in, and put a new generation of Californians to work.” With all its notable challenges, it’s clear that California plays the game at a level the 49 other states can only aspire to. The Golden State has all the tools, talent and visionary leadership to, in Newsom’s words, “return, restore and rebuild” the California dream, and make it “achievable for everyone who calls [this] great state home.” And that is certainly good for business.

he authored an exhaustive study to assess the impact of environmental protection legislation on businesses, as well as on the public at large. “Environmental regulations do, in fact, raise production costs at regulated firms—though in most cases, the costs are only a small fraction of a firm’s total costs,” Gray said. But, overall, he added, “Environmental regulations

“ The benefits to society from environmental

regulation appear to be much larger than the costs of compliance.” WAYNE B. GRAY PROFESSOR OF ECONOMICS CLARK UNIVERSITY

have had enormous benefits in terms of lives saved and illnesses averted, especially through reductions in airborne particulates… The benefits to society from environmental regulation appear to be much larger than the costs of compliance.” A better future While the jury may still be out on California’s business climate, the state is charging ahead, operating at the higher end of the nation’s economic engine. What’s more, the California 100—an assemblage of the state’s leading thinkers, business leaders and academic scholars—engaged an exhaustive study to answer the following question: “How can we envision and catalyze a dramatically better future for our state, and how can

we expand our capacity for research, policy innovation and collective action to make that vision a reality?” As a part of their voluminous work, the group conducted a survey among leaders in California’s innovation and research sectors, with a heavy focus on academic and industry researchers, educators and business leaders. The

IN YOUR CORNER ISSUE 16 | 2024

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California chronicles Kevin Starr’s enduring contributions to California’s culture help define the Golden State BY BRUCE FARR C ALIFORNIA HAS HAD its share of bona fide heroes. Men and women whose selfless contributions to the state’s growth and

Life’s mission In the simplest of terms, Starr was an American historian, best known for his multi-volume series on the history of California, collectively called “America and the California Dream.” The first of the eight-book series was published in 1973, and was notable because it looked beyond California’s material development to closely examine the state’s cultural growth and heritage. Starr himself described it thusly: “It adds to the cultural history of California and how California expanded itself. I looked at the moments in which personal, social and imaginative experiences intersected in California with lasting results.” But it was Starr’s single-minded focus on California—its legend, its culture and its people—that truly set him apart from other state chroniclers.

well-being place them in an elite pantheon of leaders. People whose vision, sense of purpose and sheer grit have helped the Golden State grow into itself as the unique cultural touchstone it is today. That leadership A-list includes everyone from William Randolph Hearst and Cesar Chavez to George Lucas and current Vice President Kamala Harris. But alongside that distinguished group, there’s a smaller, unassuming cadre of California’s “unsung” heroes. They’re pivotal leaders in their own right, whose work also elevated and advanced the state, often in ways that ran under the radar and out of the glare of headlines. One of them is Kevin Starr.

IN YOUR CORNER ISSUE 16 | 2024

Even as a teen, Starr latched onto his native state’s distinctiveness and, for the rest of his life, he never let go of it. He found inspiration for his life’s work when he was a scholar and doctoral candidate at Harvard University in the late 1960s, poring through the Horace Davis collection of books on California. He went on to say, with perhaps too much simplicity, “California is a very important part of the American formula…I wanted to see how [the state] fit in.” That abiding curiosity led to Starr’s penning far more than a million words to complete his magnum opus, which has become one of the state’s most treasured records of its culture and history. When Starr passed away in 2017, former California Governor Jerry Brown said of him, “Kevin Starr chronicled the history of California as no one else. He captured the spirit of our state and brought to life the characters and personalities that made the California story. His vision, like California itself, was bigger than life.” Early adversity Starr’s early life was plagued with heartbreak and deprivation. He was born in San Francisco in 1940 to Owen Starr, a machinist, and his wife, Marian, a bank teller. Starr’s parents divorced when he was a child and when he was six, his mother suffered a nervous breakdown and was later committed to a mental institution. Starr and his brother, James, were shuttled off to a Roman Catholic orphanage in Ukiah, California, where the boys spent the next five years. Afterwards, the brothers were reunited with their mother back in San Francisco, where they lived in a meager public housing project and subsisted on welfare. Despite the adversity, Starr drove himself to succeed. After attending St. Boniface School in San Francisco’s Tenderloin District and graduating from St. Ignatius High School, he enrolled in the University of San Francisco, a Jesuit school from which he graduated with a degree in English in 1962. A year later, he married Sheila Gordon with whom he eventually had two daughters. Library caretaking Following his college graduation, Starr served two years as an Army tank battalion officer in Germany. He returned to the U.S. in 1964 to earn a master’s and doctoral degree from Harvard, and then followed up

with a Master of Library Science from UC Berkeley. In 1973, then San Francisco Mayor Joseph Alioto appointed Starr as his executive aide. Later that year, Alioto named him director of the San Francisco Public Library, a position he held until 1976. In 1994, Starr was appointed to the prestigious role of California state librarian, where he made significant contributions to the statewide administration of libraries. In fact, within four years, he increased California’s library budget by 65%. During his tenure, he also initiated landmark library programs, including Proposition 14, for which voters subsequently authorized $350 million for statewide library construction. Starr left the library position in 2006, upon which former Governor Arnold Schwarzenegger officially dubbed him State Librarian Emeritus, the only state librarian who was accorded that honor. That same year, Starr was

further recognized for his contributions to the state when he received the National Humanities Medal and later, in 2010, was inducted into the California Hall of Fame. Literary legacy Starr’s contributions to furthering California’s place in American history can’t be overstated. Today, American Studies

“Kevin Starr chronicled the history of California as no one else. He captured the spirit of our state and brought to life the characters and personalities that made the California story. His vision, like California itself, was bigger than life.” Jerry Brown Former Governor of California

students in the history and honors program at Cal State Fullerton often delve into Starr’s writings to gain a better sense and understanding of California’s role in American history. Jason Sexton, honors program lecturer in the university’s history department, noted that, “During any given term, there are probably four or more classes throughout the university assigning Kevin’s work. He’s a major literary figure in understanding the history of California.”

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Shortly following Starr’s death in 2017, Sexton and his colleague William F. Deverall, a history professor at the University of California, launched a project that brought together scores of historians, social scientists and theologians to investigate Starr’s eight-volume “Americans and the California Dream” series. The project was called “The California Dream in Interdisciplinary Perspective: Revisiting Major Themes in Kevin Starr’s California.” It ran for two years and delved into 10 major themes of Starr’s work. Recently, Sexton published a new collection

A short bibliography of Starr’s most significant book publications listed chronologically.

of essays exploring what drove Starr’s devotion to the Golden State. Entitled “Redemptive Dreams: Engaging Kevin Starr’s California,” the book was just released this past fall. “The ‘California Dream’ series is the most ambitious literary account of California that’s ever been given and probably ever will be given by one single author. Kevin’s passing is, in a sense, the end of an era of that kind of chronicling of California,” says Sexton. “Very few people have read all of Kevin Starr; I think Kevin would

“Americans and the California Dream, 1850-1915” (1973)

“The ‘California Dream’ series is the most ambitious literary account of California that’s ever been given and probably ever will be given by one single author.” Jason Sexton Honors Program Lecturer, Cal State Fullerton

“Land’s End” (1979)

“Inventing the Dream: California Through the Progressive Era” (1985)

“Material Dreams: Southern California Through the 1920s” (1990)

“Endangered Dreams: The Great Depression in California” (1996)

“The Dream Endures: California Enters the 1940s” (1997)

“Embattled Dreams: California in War and peace, 1940-1950” (2002)

have appreciated that we’re not just excavating his work, but taking the themes and bringing them into conversation with our various disciplines and other concerns in California today. I hope the research we produce will provide some tools for reckoning with California, its 40 million residents and others around the world who count it such a special place.” If what’s past is prologue, there’s more greatness ahead for California. No other state comes close to the sweeping grandeur of our geography, or the universal impact of our economy and culture. But to truly understand where the Golden State is headed, you must know its history, and the books of Kevin Starr are an indispensable resource for building that knowledge.

“Coast of Dreams: California on the Edge 1990-2003” (2004)

“California: A History” (2005)

“Golden Dreams: California in an Age of Abundance, 1950-1963” (2009)

“Golden Gate: The Life and Times of American’s Greatest Bridge” (2012)

“Continental Ambitions: Roman Catholics in North America: The Colonial Experience” (2016)

IN YOUR CORNER ISSUE 16 | 2024

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CB&T’s personal approach attracts long-time clients

A bank for

all ages and stages

BY DEBRA GELBART

C ALIFORNIA BANK & TRUST has earned the appreciation and confidence of many long- time customers. When the bank combined predecessor institutions and incorporated in 1998, more than a few customers came along, and have remained CB&T clients for decades. Here are some of their stories. A customer for 60 years John Guthrie opened a checking account in 1964 at the Claremont branch of what later became

After a successful career at General Dynamics as an engineer from the mid-1950s to the mid-1970s, Guthrie changed direction and went to work for Flight Systems Inc. in Orange County. “Developing new weapons systems was in a state of flux at that time,” says his daughter, Kari. “So my father decided to leave that industry while it was still his choice.” Six decades ago, Guthrie found his bank for life at the Claremont branch. His banker, Lori Duran, has been working with Guthrie since 2012. Until a few years ago, Duran says Guthrie would come into the branch almost every Friday to do his banking, dressed in a jacket and suit pants, and ready to offer chocolate mints to the staff. “He would tell us all about what he had done that day and what he planned to do in the coming days,” she says. “He especially appreciated our teller, Helen Mitsui, who retired at the end of 2023.” A resident of Pomona, Guthrie says he’s always appreciated the personal service and “the fact that they know me there and their efficiency. Why would I change banks when the service is so great there?” Off to an early start Part of Tracy Zemke’s success as a San Diego entrepreneur can be attributed to her comfort level with financial responsibility from a very early age. When she was nine years old, she opened a

California Bank & Trust, and has been a customer ever since. At 101 years old, Guthrie has had an impressive career. A graduate of Carnegie

Tech, the precursor to Carnegie Mellon

University, he worked as an engineer during World War II. While stationed near a military

aircraft control tower in the vicinity of the English Channel, he instructed pilots of badly damaged airplanes how to safely land their planes. He also co- invented the Stinger, a shoulder-fired, heat-seeking missile that is still in use today.

IN YOUR CORNER ISSUE 16 | 2024

The bank that welcomed him in In December 1987, Steven Papai simply wanted to open a business checking account. He didn’t need a loan. He had just established a document destruction (paper shredding) business, Berkeley Shreds, and was holding $3,000 in customers’ checks as his planned initial deposit. But that wasn’t good enough for two U.S. banks, one of which Papai had done his personal banking for a decade. “The banker there said to me, ‘Why don’t you come back in five years when you’ve demonstrated that you can operate a company?’ ” So Papai kept walking in the same neighborhood in Albany, California. At a corner, he came to Sumitomo Bank and went inside. The banker there happily accepted his money, even though Papai had never banked there. “That’s a big part of the reason I’ve stayed with them all these years,” he says. About a decade later, that bank became California Bank & Trust. Along the way—and ever since—Papai has appreciated what his bank has done for him, including with his personal banking. “They provide terrific

checking account at a major bank that not only held her allowance money and included checks printed with her name, but was her source of payment for purchases at local retailers. Zemke’s mother taught her how to fill out a check, sign it and present her California ID to a cashier who almost always accepted the check because Zemke

proved who she is. Grossmont Bank in San Diego, where she opened that first checking account, became California Bank & Trust in 1998. Today, Zemke

is the owner of Personal Touch Dining, a San Diego-based

wedding and special-event catering company that she opened in 1988. In 2023, her company’s annual revenue exceeded $9 million. Zemke isn’t at all surprised that she’s been a CB&T customer for more than 50 years. She has always appreciated the service she’s received from the bank, and still owns the vintage tote bag she received in 1972 when she opened that first checking account as a child. Robert Whitelaw was her banker from the day she opened her business account in 1988 at the El Cajon branch until he retired at the end of 2022. “I have always found a home at CB&T. It’s more than a banking relationship,” Zemke says. “It’s a personal relationship.” Joshua Hill is now Zemke’s banker and he says, “Tracy has not only been a long-time client, but CB&T has been a customer of hers, as well. Personal Touch Dining has provided catering services for our annual Christmas parties and other special events.” No matter what she needs from the bank, Zemke says she can communicate once and it’s taken care of. When her company moved into a new building at the end of December 2023, “we had all these different accounts with the bank, and with one email from me, they changed all the addresses on the accounts, including our credit cards.” That long-term relationship with the bank “is key to our success,” Zemke says.

customer service and personal relationships that have guided me in my business career and have made all of our banking easier,” he says. “I know all the Albany branch employees by their first name.” Mary Yuan has been his personal and business banker for

the past 25 years. She has continued to be the point person for him, even after he and his wife Cameron retired to Cooperstown, New York. “Steve prefers having a banker who can be responsive to his needs and concerns,” Yuan says. “He’s not very much into the high-tech way of banking and appreciates the human element.” When the Papais wanted to sell their home in Berkeley, CB&T became the couple’s escrow center and provided necessary legal documents. “They did everything we needed,” Papai says. “Yuan provides an amazing level of personal interest and consideration and care of our finances.”

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From beans to dreams

Strong alliance between French-inspired café and CB&T brews a flavorful success story

BY DEBRA GELBART

C HRISTINE PEREZ WANTS YOU to sit and enjoy a cup of coffee or cappuccino the way Europeans do. It’s part of the reason she enjoys owning and operating Café Madeleine, a French-inspired casual eatery with two locations—in South Park and North Park— in the heart of San Diego. “When I traveled to France, I really got a sense of the lifestyle of cafes,” she says. “You’re not just there to eat. You’re there to chat and enjoy a cup of coffee while experiencing the time to simply sit and be, instead of running around with a white paper coffee cup and rushing off to your next appointment.” Savoring the atmosphere Perez notes that when she and her staff began offering coffee at her original South Park location in a beautiful white porcelain mug, “No one really wanted their coffee in that kind of cup. Almost everyone asked for their coffee in a cup that they could grab and go. But the baristas persisted in offering customers the opportunity to sit down and truly enjoy their coffee by drinking it from a mug.”

Eventually, the idea caught on. Now, Perez says, 90% of their customers at both locations order their beverages in a mug. The beginning The notion of unhurried, casual dining is foundational to Café Madeleine, which first opened at the beginning of 2010. Perez was a teacher and reading specialist with the San Diego Unified School District for nine years, but was ready to find another way to give back to the community. She loved the idea of running a café based on her travels to southern France, and found a place to rent in South Park that previously had been occupied by a candle store. “Teaching gave me management experience and

IN YOUR CORNER ISSUE 16 | 2024

CB&T is “a safe place to ask questions. It’s run like a neighborhood bank and that means a lot to me.” Perez’s banker Jad El Abdallah, a vice president and banking center manager for CB&T, has been working with her for more than two years and knows that it’s a different experience for Perez to be elated with a bank’s customer service. Before her association with CB&T, “Christine hadn’t had the kind

of relationship where she can simply pick up the phone and call her banker to ask a question or get advice,” El Abdallah says. “Christine is one of the nicest, kindest clients anyone can ask for.” Each Café Madeleine location is cozy and intimate, with seating for about 45 customers

“CB&T is a safe place to ask questions. It’s run like a neighborhood bank and that means

a lot to me.” Christine Perez Owner, Café Madeleine

people skills,” she says. “With children, you have to be tender and cheerful. You have to find out what they’re good at and how you can help them explore that.” Those qualities, she says, translate well to managing a business and, notably, can contribute to its success. “You have to gain the trust of employees and they have to buy into your vision,” Perez says. Recognition, expansion The formula is working. With revenue of more than $1 million annually, 15%

at the original South Park location, about 60 at the North Park location, and about 50 at the Barrio Logan location. The walls are adorned with art from Perez’s travels, adding to the European ambience of each café. “Each piece of art I display is meaningful to me and has a story,” she says proudly. The importance of smiles Although the restaurant business comes with many challenges, Perez enjoys putting a smile on people’s faces and making a difference in the community. “Everyone on my team feels like they have been called to do something to help others,” she says. “This can be as simple as a friendly gesture or pleasant conversation. Sometimes, people don’t have a lot of contact with other people. The interactions they have at the café can have a positive impact.” Through her experience running a restaurant, Perez says she has learned not to be too hard on herself and to let her staff know that it’s OK to make mistakes and fail. “It’s a learning experience, and that can change your perspective.” At the same time, Perez says she’s found the recipe for success. “If you act out of love, respect people, are kind and have a genuine interest in and invest in other people, they’ll invest in you, too.”

growth year over year since 2021, and a reputation as an important part of the San Diego community, Café Madeleine was named Small Business of the Year in the 39th State Senate District in 2023. A third location of Café Madeleine in Barrio Logan is set to open in early spring, and a grab-and-go-style deli serving sandwiches, salads and baked goods will open near Golden Hill later this year. Perez is grateful for the help California Bank & Trust has provided during the construction phase of the Barrio Logan location. “CB&T has assisted with organizing my financial assets to free up cash to complete this location. The banking personnel are unlike any others I’ve dealt with in the past,” she says, adding that she especially appreciates that

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Meet the longest-serving champions at California Bank & Trust

BY JULIA DE SIMONE

Decades of

dedication

STEADFAST COMMITMENT and enduring service are the foundations of business success. This is especially true at California Bank & Trust, where three extraordinary associates are each celebrating more than 45 years of unwavering loyalty and dedication to banking excellence. We’re proud to share their stories.

Michiyo Furuhashi Branch Service Manager, Sacramento Not many people can boast about working at the same company for more than 50 years and still enjoy

allowed me to learn new things,” Furuhashi says. “I’d go around and ask if there’s anything I could help with because that’s the way you learn. If you sit around and wait for someone, you’re not going to learn.” Furuhashi says she always enjoyed

it. Michiyo Furuhashi, however, can. “This is my first job and hopefully, my last,” she says. Furuhashi’s long tenure started in the 1960s when CB&T was Sumitomo Bank of California. She had just completed her education and felt internal pressure to get a job. “I felt guilty because all my siblings were working except me,” she says. But it was her continuous gumption that sealed her career in the banking field. “[My supervisors]

interacting with clients, holding steadfast loyalty to old-school customer service. “We were told to remember customers by their names, and they appreciate it,” she says. “You must have a positive attitude and be thankful for your customers because without them, we don’t have a paycheck.” After the birth of her first child, she planned to become a stay-at-home mom. Her assistant manager, however, encouraged her to stay. Since her parents and in-laws helped with child rearing, the mother

IN YOUR CORNER ISSUE 16 | 2024

of three says she was able to “work freely” without worrying about their care. It was this combination of a supportive home and workplace that made her realize that money may be green, but it certainly isn’t greener somewhere else. “I appreciate all the assistance I’ve received (from my supervisors and colleagues) because without them, I wouldn’t have survived,” says Furuhashi. “You have to help one another. I’m grateful.” And not retiring any time soon. “Everyone has retired. I’m the only one left and not planning to leave,” she laughs. Sheri Walling First Vice President and Bank Operations Administrator, Irvine When it comes to her career, Sheri Walling jokes that she’s “for longevity.” But it’s not merely a jest, it’s the truth. This April, Walling will mark her 46th year with CB&T. “I’ve always

everyone that, ‘I got it. I know how to do this part!’” she laughs. And although one day she might retire, she’s not planning on it anytime soon. “What would I even do? I enjoy what I do. I love the group I work with, and I love my manager. It would be nice to take a nap, but what am I going to do? Take a nap for the rest of my life?” she laughs. It’s doubtful, especially with her impressive run thus far. Lupe Fernandez Vice President and Branch Service

Manager, Encino Lupe Fernandez has celebrated several milestones in her life. But not in her “wildest dreams” did she believe one would include celebrating 46 years at CB&T. Starting her

wanted to stay in banking,” she says. “Why go somewhere else? The grass isn’t always greener, right?” Walling says her career track was initiated by her parents who told her to “go

career in the late 1970s, Fernandez has held several positions: bookkeeper, new accounts representative and customer service manager. “I think the reason I’ve worked for the bank this long is because I really enjoy it. Time just flies,” she says. Although life throws us challenges, especially in the workplace, Fernandez says the key is to remain positive. “The best way to succeed is to have a good attitude, educate yourself and not complain so much about the work—just do it. It takes longer to complain than to finish the work,” she advises. Fernandez’s colleagues have taken note of her perseverance. On a LinkedIn post commemorating her anniversary, one colleague said, “You have set an exemplary standard for all of us with your work ethic and your dedication. Thank you for everything you have done for CB&T all these years.” Although Fernandez doesn’t plan to retire this year, she does see it on the horizon. She hopes to continue traveling, already sporting passport stamps to 15 different countries. “I’ll travel with my husband because my daughter has to work. Now it’s my turn,” she laughs.

to college or get a job.” Walling took the latter and, because of her willingness to learn new tasks and her openness to change, she had career advancements early on. She’s also a fan of technology. “Just keep your mind open to new opportunities, and you can make a change,” she encourages others of all generations. Walling says supportive leadership also has played a key role in her long tenure. “It’s been a great company to work for all along the way. Each bank I’ve worked for collectively, there’s been a lot of opportunity for people to be promoted from within.” Her many years working in the field with and without technology has also proved to be beneficial on certain occasions. “Whenever we go offline, I tell

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Building a CD ladder: THE INS AND OUTS

BY ARAM ANTHONY

How to optimize high interest rates on your savings

IN YOUR CORNER ISSUE 16 | 2024

T HERE COULD BE a recession coming. Or not. Inflation could skyrocket again. Or not. The economic future is impossible to accurately predict and is certainly out of our control. There is, however, one thing smart savers can do: Optimize the interest rate on your savings. A growing number of savers are doing this with Certificates of Deposit (CDs), specifically by employing a strategy known as CD laddering. This enables them to take advantage of high interest rates without locking up all of their funds at once. Building a CD ladder is easy. You simply take the total amount you would normally put in one CD and break it out across several CDs of varying commitment lengths and with different maturity dates. The benefits of CD laddering Interest rates on even short-term CDs are surprisingly strong right now. As of this writing, rates in the 4% to 4.75% range are not uncommon for six- and nine- month CDs, with 12-month CDs offering even higher rates. Because of this, people are seeing them as a viable investment option that allows them to earn a good rate of return without a long-term commitment. In addition, by staggering both the term length and the maturity date, money becomes available throughout the year rather than all at once. When

and cuts. When the Fed takes a pause on hiking rates, some forecasters predict that CD rates will then soften. That said, there are indications that the Federal Open Market Committee will begin to lower rates this year. This provides savers with a strong incentive to invest in short-term CDs now to take advantage of rates while they are still high. Is a CD ladder right for you? Many people who’ve adopted the CD ladder strategy are looking to earn a high yield for their money while maintaining a level of liquidity that can help them meet approaching life events, such as an impending retirement or a child’s graduation. According to Chikako Tyler, chief financial officer at California Bank & Trust, “Astute investors who watch forward interest rates will likely want to take advantage of locking in higher-yielding, safe investments while they can. It’s always important to remember that no one can predict interest rates, so it is essential to diversify.” Consider before committing Investing in a CD means that you are willing to tie your money up for the length of the term, be it three, six, or nine months or longer. Be aware that if you take a withdrawal before your CD matures, you will pay a penalty fee. If you need greater flexibility

a CD matures, you have the option of taking the cash for other uses or reinvesting it into a new CD. Looking ahead How long will CD rates remain at their current high levels? CD rates respond to, or reflect, the Fed’s rate hikes

than what traditional CDs offer, no-penalty CDs are available. They generally don’t pay as high a rate as standard CDs, but the best ones are competitive with them and worth considering.

“It’s always important to remember that no one can predict interest rates, so it is essential to diversify.” Chikako Tyler

Chief Financial Officer, California Bank & Trust

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Don’t fall victim to travel fraud schemes this spring

Navigating a

safe journey

BY MICHELLE JACOBY

AS THE WEATHER WARMS, wanderlust begins to set in for travelers wanting to explore new destinations. While embarking on new adventures is exciting, the risk of falling victim to travel scams is a reality. If springtime travel is in your plans, here are a few essential tips to help ensure a safe and secure journey.

Recognize a scam While fraudsters are continually coming up with new ways to scam travelers, they often trick people with emails or

reputable travel platforms, and official airline and hotel websites. Scammers often create fake booking sites to collect payment information or sell nonexistent reservations. Get it in writing

text messages about “free” vacations and robocalls selling vacation deals. If you respond to these offers, you’ll learn that you’ll have to pay fees and taxes upfront. A legitimate company won’t ask you to pay for a “free” prize. Beware of phishing

Before finalizing your trip details— and, more importantly, making final

Never click on suspicious links or respond to unsolicited emails or messages claiming to be from airlines,

payment—get everything in writing. Details should include the trip itinerary complete with names of the airlines, hotels, charters and groups; total cost including fees, charges and taxes; restrictions; and cancellation policies and penalties. Protect your payment methods

hotels or travel agencies. Instead, go to the company’s official website and search for travel offers, or locate their customer service number on the website and call them directly to inquire or verify the offer. Use reputable sources

When making travel-related purchases, use credit cards with fraud-protection

When planning your vacation, one of the best lines of defense is getting recommendations from family and

services. These include features that will help detect unusual or suspicious transactions; real-time alerts; zero-liability protection and enhanced security measures for online transactions. Notify your bank

friends. Ask for good travel agencies, vacation rentals, hotels and travel packages, then book on

IN YOUR CORNER ISSUE 16 | 2024

Secure your devices Before leaving for your trip, update your devices—including smartphones, laptops and tablets—with the latest security

about your travel plans in advance and avoid using a debit card, which offers less fraud protections compared to a credit card. Protect your personal information

features and antivirus software. Use strong passwords for your accounts, enable two-factor authentication, and avoid accessing sensitive information over unsecured public Wi-Fi networks. When traveling, being aware and prepared is the best way to avoid becoming a victim of fraud and travel scams. Practicing these and other safety tips will help reduce the risk, and give you the peace of mind that your next adventure is memorable and worry-free.

Be mindful of how and where you share personal information. Don’t discuss travel

plans in public where others may overhear, and avoid posting to your social media accounts while you’re on vacation. Establish a safe place for storing passports and travel insurance information, and consider using a virtual private network (VPN) on your devices rather than using Wi-Fi networks, which are often targeted by cybercriminals.

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IN YOUR CORNER ISSUE 16 | 2024

From pinching pennies to punching up your portfolio, how to navigate financial literacy at every life stage

Empowering

every stage

BY MICHELLE JACOBY

FINANCIAL LITERACY MONTH is upon us, serving as a reminder for people of all ages to improve their understanding of money matters and to practice healthy financial habits. Here’s a helpful guide to setting yourself—and your loved ones—up for stability and success.

Children and teens One of the most valuable gifts parents can give their children is the gift of money know-how. Teaching children and teens responsible spending

Young adults As we all know, life is unpredictable— which is why establishing emergency funds can help young adults build a solid financial foundation. Situations like medical emergencies and unexpected car repairs can pop up at any time, and having a financial safety net (experts recommend setting aside three to six months’ worth of living expenses) will help ensure your young adult’s financial standing doesn’t get derailed. Investing is also an important component of financial planning for young adults. With time on their side, they can benefit from the power of compounding. Young people entering the workforce should explore retirement accounts like 401(k)s and take advantage of their employer’s matching program. An IRA is also a good retirement savings option because it allows investors to take advantage of tax benefits, helping them accumulate wealth over time. Pre-retirement and older adults If you’re approaching retirement, it’s crucial to determine how ready you are. Evaluate your retirement savings and income sources, and estimate potential

and saving habits can set them up for lifetimes of successful money management. For parents of young children, one of the easiest concepts to teach is basic savings. A simple way to do this is by instilling a chore system in your household and having your children set aside a portion of their allowance into an interest-earning savings account. This not only gets them into the habit of saving, but also shows them how their money can grow with earned interest. For older children and teens, teaching the art of budgeting is another way to get them on the road to financial success. Have a discussion with your child, stressing the difference between needs and wants, then work with them in creating a simple budget. If your children are eyeing big-ticket items, help them set actionable goals that will help them with their purchase. Examples include getting an after- school job, providing services like babysitting and lawn mowing, or selling gently used items. Your children will not only feel accomplished, but you will be helping them develop a sense of financial responsibility.

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