Bermuda's youngest bank - Capital G - has revamped its management structure and will be undertaking a $3 million headquarters move.

The bank announced yesterday that it intends to add a new level of executive vice presidents to its management team and to move offices into the former Knick Knack building by spring 2004.

"The restructuring is reflective of the phenomenal growth that the bank has experienced since being awarded a banking licence in October 2001 and will impact the senior management team," said bank president and CEO Sarah Farrington.

"The bank's senior vice presidents, typically heads of departments, will report to one of two newly established executive vice president posts - the chief financial officer or the chief operating officer.

"The implementation of this hierarchical structure is indeed unusual in a market where organisational restructuring has become synonymous with downsizing.

"This is clear evidence of the growth and development of Bermuda's newest bank, Capital G Bank Limited."

In taking over the Knick Knack building, the bank will add 27,000 square feet of commercial space over four floors at 19 Reid Street and open a new service for high end customers.

It will be vacating 5,000 square feet of office space in its current location.

Capital G said the spacious new headquarters would give both customers and staff more breathing room.

"The new space will provide an improved teller area which will decrease customer waiting time," said Ms Farrington.

"The new work space will also be designed to improve overall operational efficiency ensuring that departments that interact with each other are within close proximity."

When the renovation - which the bank estimates will cost $3 million although there will be additional rental costs - is complete the new card services will be on the basement level, and retail banking and financial services will be on the main level.

Lending will be on the third floor while the top floor will be dedicated to a new Select Banking service, targeted towards high net worth individuals and corporate clients.

"All other departments will remain in our existing building," Ms Farrington said.

The bank estimates that hundreds of high net worth individuals will be using the Select banking option within a few years. Among the perks the status will offer are:

A complimentary consultation with a certified financial planner;

Priority processing of requests for loans, mortgages, credit cards and transactional solutions;

Creative financing solutions provided by seasoned Credit Relationship Managers;

Dedicated financial service representatives to handle clients transactional requests;

Financial and mutual fund seminars featuring expert guest-speakers;

Invitations to special events;

Ability to conduct transactions via facsimile and telephone;

Card key access to the exclusive and private Select Banking Centre;

Complimentary Select Banking for the first six months, subject to membership criteria; and

Transactional Solutions: foreign currency, money transfers, draft requests, credit card bill payments, account queries and account management.

Capital G will be hiring two individuals to fill the new executive vice president posts and continuing with its current staff recruitment programme.

Heads of departments will also be given the title of senior vice presidents.

"The appointment of all heads of departments as senior vice presidents serves to formalise the organisational structure, establish clear lines of authority and responsibility and sets the stage for the implementation of phase two of the bank's strategic plan," Ms Farrington said.

"Since acquiring our banking licence, Capital G Bank Limited has established several new divisions and recruited talented staff at every level of the organisation."

There is also a currently vacant post of senior vice president internal audit.

"We are in the final stages of selecting a candidate," Ms Farrington said of the position.