I need help on how to create this text effect in Illustrator CS6. The free transform is not working, the bulge, envelope, and arch are not giving the same effect.
There's no easy solution to this. The text is quite distorted and it uses a couple different distortions.
I got close by setting an Envelope to bulge at 18%. Then draw a no-fill, no-stroke rectangle in the middle of the envelope and group it with the envelope. Now apply a second Envelope set to Arch at 30%. This gets somewhat close.
The no-fill, no-stroke rectangle and group is used so you can apply two envelopes. The rectangle won't alter reproduction or output in any way, but it allows the grouping and then the second envelope.
From there, it's a matter of using Free Transform and distorting some corners by dragging them outward to better fit the shape. And a little skewing. There's no method I could share which would be a definitive answer as to what settings to use for these alteration. It's a matter of trial and error.
I didn't concern myself with font matching beyond using a serif typeface.