citizens republic bancorp
citizens republic bancorp inc. sale means no changes expected for customers, banks say
citizens republic bancorp inc. , located on s. saginaw street in flint .
citizens republic bancorp selected to participate in u. s. treasury capital purchase program
citizens republic bancorp, inc. moved to 328 south saginaw street flint, mi .
citizens republic bancorp inc. plans to sell iowa subsidiary for $ 50 million cash
the acquisition of citizens republic bancorp by akron - based firstmerit bancorp (nasdaq: fmer) had been announced last september, pending approvals .
the downward spiral of citizens republic bancorp inc. (crbc) stock over the past three years .
flint, mi – citizens republic bancorp has been one of flint’s leading corporate citizens over the course of three different centuries .
labels: bill hartman, cathy nash, citizens bank, citizens republic bancorp, john d. schwab, s bank, stock
flint - based citizen republic bancorp inc. sold to akron, ohio - based firstmerit corp .
is republic bancorp, inc.' s estimated nps of - 6 considered to be good ?
flint - based citizen republic bancorp inc. sold to akron, ohio - based firstmerit corp
it would acquire more banks and branches through the 1990s, but its most notable acquisition came in 2006, when citizens merged with ann arbor - based republic bank to form citizens republic bancorp .
flint - based citizen republic bancorp inc. sold to akron, ohio - based firstmerit corp. | urltoken
of the flint - based citizens republic bancorp to akron, ohio - based firstmerit, local residents have lots of lingering questions .
flint, mi - - citizens republic bancorp inc. is the oldest bank in flint. here is a timeline marking key moments in citizens' legacy .
therefore, comparing the nps score of republic bancorp, inc. with your own without any further context is not that useful .
akron, ohio – akron, ohio - based firstmerit corporation announced friday, april 12, that it has completed its acquisition of flint - based citizens republic bancorp .
citizens republic bancorp inc. , the parent company of citizens bank in wisconsin, is being acquired by ohio - based firstmerit corp. for about $ 912 million, the companies said thursday .
from 2008 until 2011, citizens republic bancorp inc.' s reported 11 straight quarters of negative growth. then the bank began its series of positive - growth quarters .
citizens republic bancorp, inc. is a diversified financial services company providing a wide range of commercial, consumer, mortgage banking, trust and financial planning services to a broad client base. citizens serves communities in
workers from flushing - based signs by crannie took down the sign at the former headquarters of flint - based citizens republic bancorp inc. , replacing it with a firtsmerit bank logo .
here is the joint statement announcing firstmerit corp.' s acquisition of flint - based citizens republic bankcorp
citizens republic' s $ 297. 1 million net income is best quarter in bank' s history
pursuant to the requirements of the securities exchange act of 1934, citizens republic bancorp, inc. has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized .
flint, mi – at the end of the business day on friday, april 12, flint - based citizens republic bancorp is expected to close the books on its 142 - year run .
consider an example: if republic bancorp, inc. sends out nps surveys immediately after purchase, they are tracking their customers' initial excitement and the checkout experience .
flint, michigan - - after being in business nearly 140 years, there' s a first coming to the hometown bank. beginning feb. 1, a woman will lead citizens republic bancorp inc .
one merger with republic bank in 2006 formed citizens republic bancorp and doubled the size of the company. by the time it joined firstmerit in 2013, despite troubles during the financial downturn of 2008 - 09, the bank had locations across much of michigan and into wisconsin and ohio .
dec. 29, 2006 - - acquires ann arbor - based republic bancorp inc. , at the time creating the 45th largest bank - holding company in the u. s .
citizens was expected to pay back its loan in early fall after cleaning up its loan portfolio since merging with republic bancorp inc. in 2006, said larry gardner, founder of troy - based lawrence gardner associates inc .
at the time the republic sale was announced, citizens traded at $ 27. 03 a share, and the deal valued republic shares at $ 13. 86. by may 2011, citizens republic' s market cap had fallen from $ 2 billion to $ 340 million, and its share price had fallen below $ 1 .
flint, mi - - a national analyst said that citizens republic bancorp inc.' s recent string of five consecutive quarters of positive growth may have been the reason to pull the trigger on the sale to firstmerit corporation .
we have estimated the net promoter score of republic bancorp, inc. based on the publicly available information including the sentiment of the company - related tweets, 3rd party reviews, and alexa ratings .
flint, mich. and ann arbor, mich. , dec. 18 / prnewswire - firstcall / - - citizens banking corporation (
citizens
) (nasdaq: cbcf) and republic bancorp inc. (
republic
) (nasdaq: rbnc) today announced the branch offices that will be consolidated as a result of the merger of the two companies .
flint, mi - - flint - based citizens republic bancorp inc. and akron, ohio - based firstmerit corp. have entered into a definitive agreement under which firstmerit will acquire citizens in a stock - for - stock transaction with a total value of approximately $ 912 million .
those losses were fueled, in part, by the acquisition of ann arbor - based republic bancorp inc. in 2006 by what was then known as citizens bancorp inc. that acquisition came at the top of the market, just before the banking crash, and was of a bank that focused on home mortgages, just before the housing crash .
currently, both citizens republic and firstmerit shares retain a zacks # 3 rank, which translates into a short - term hold recommendation .
bruss, chief executive of fortress partners capital management in hartland, said the two executives who have been turning around citizens republic bancorp - ceo cathleen h. nash and chief financial officer lisa t. mcneely -
have done a tremendous job .
in 1986, after raising $ 3 million from investors, campbell launched another small community bank in owosso called republic bancorp inc. , which was based in ann arbor by the time it was sold in 2006 to citizens banking corp. in flint .
the terms of the merger call for citizens republic stockholders to receive 1. 37 shares of firstmerit for every share of citizens republic common stock. based on firstmerit' s 10 - day average closing price of $ 16. 42 on the nasdaq, the implied value of each citizens republic share would be $ 22. 50, the companies said. that would be a 13. 9 percent premium to the ...
citizens has branches in grosse pointe farms and st. clair shores. it did not have operations in the detroit area prior to acquiring republic bank .
donald hoffman, public relations of citizens banking corporation, + 1 - 810 - 237 - 4986, donald. hoffman @ urltoken; or kristine d. brenner, investor relations of republic bancorp inc. , + 1 - 989 - 725 - 7337, kbrenner @ urltoken
1981 - - citizens forms holding company, citizens banking corporation, to acquire additional banks .
citizens banking corporation moved to 328 south saginaw street one citizens banking center flint, mi .
law360, new york (september 13, 2012, 12: 04 pm edt) - - ohio financial services company firstmerit corp. will purchase michigan - based lender citizens republic bancorp inc. in a stock - for - stock deal valued at roughly $ 912 million, the companies announced thursday .
on april 12, 2013, citizens republic bancorp, inc. , a michigan corporation (citizens) completed its previously announced merger (the merger) pursuant to the agreement and plan of merger, dated as of september 12, 2012 (the merger agreement) by and between firstmerit corporation, an ohio corporation (firstmerit) and citizens. as a result of the merger, citizens separate corporate existence ceased and firstmerit continued as the surviving corporation .
in june 2007, a year after the acquisition of republic was announced, citizens announced it had reviewed $ 750 million of republic' s loans, would take a charge for loan losses of $ 30 million to $ 35 million and had downgraded the rating of 180 loans worth $ 145 million .
“we are pleased that citizens bank will partner with the detroit community to invest in an area that was long neglected, particularly by the former republic bank, ” perez said .
agreement and plan of merger, dated as of september 12, 2012, by and between firstmerit corporation and citizens republic bancorp, inc. (incorporated by reference from appendix a to the registration statement on form s - 4 / a filed by firstmerit corporation on february 28, 2013 (registration no. 333 - 18521) )
the citizens operation in wisconsin includes the old f & m bank of kaukauna, which citizens had acquired .
the weather ball was operated by citizens republic bancorp based on national weather service forecasts, and is still operated the same way. the weather ball’s construction materials include 800 square feet of plexiglas and 667 feet of lighting tubing. the weather ball can be seen for 25 miles and is designed to withstand winds of up to 120 mph .
former citizens bank locations will now operate under the name
citizens bank, now part of firstmerit bank .
with the pending $ 912 million stock - for - stock sale of citizens republic to akron, ohio - based firstmerit corporation, the future of the bank’s economic footprint in genesee county is uncertain .
1890 - - citizens gives up national charter and becomes citizens commercial & savings bank under a state of michigan charter .
when analysts and industry participants have talked of a wave of bank mergers that never seems to quite happen, citizens republic is often bandied about. bloomberg news reported last month it was considering a sale .
a u. s. bankruptcy judge has approved a plan for jerry campbell, the former chairman and founder of ann arbor - based republic bancorp inc. , to pay back the $ 5. 7 million he owes to jack krasula, his former partner in the failed pinnacle race course in huron township .
the department filed the lawsuit because it believed the bank and republic bank, which citizens acquired, violated the fair housing act and the equal credit opportunity act. the acts prohibit racial discrimination in mortgage lending .
recent market chatter had fifth third bancorp interested in buying it, sending the shares up, but analysts thought fifth third would rather return cash to shareholders than expand in michigan .
citizens and republic expect to complete the merger transaction on december 29, 2006. the consolidation of the branches is scheduled to be completed in the second quarter of 2007. clients who bank at these branch offices will be notified by mail. the consolidation will not affect their accounts, which will be transferred to other citizens bank locations .
nadine cook, owner of churchill’s food and spirits in the building just next door to citizens, said that her business relies heavily upon citizens bank employees .
citizens will now be rebranded to the firstmerit name, according to the statement .
the firstmerit name will also go up outside the 46 citizens banks in wisconsin .
the deal to acquire citizens republic, the largest bank holding company headquartered in michigan and the 57th largest bank holding company headquartered in the united states, offers firstmerit significant upside potential of a stronger bank with increased vigor. in recent months, the market was rife with rumors that
f & m bank - wisconsin will change its name to citizens bank on april 25 to reflect the consolidation of the wisconsin and michigan subsidiary banks of citizens banking corp .
citizens national bank switched from a national to a state - chartered institution in 1890 as citizens commercial & savings bank. in 1928, the original bank building was demolished and the a new headquarters building, citizens bank building, was built on the site. in 1937, the bank began its annual citizens' holiday sing. [ 3 ]
citizens banking corporation located at flint, mi was established as a bank holding company .
with 219 offices and 248 atms. citizens is the largest bank holding company headquartered in
golden said that the move was made in the best interest of citizens bank shareholders .
the iconic weather ball was constructed on top of the citizens bank building in august 1956 .
tcf financial corporation sold three locations to citizens banking on may 12, 2000. [ 3 ] on april 25, 2005, f & m bank - wisconsin changed its name to citizens bank as citizens banking corporation had applied to consolidate the two banks. [ 9 ]
largest bank holding company headquartered in the united states. more information about citizens is available at
under terms of the agreement, citizens shareholders will receive 1. 37 shares of firstmerit’s common stock in exchange for each share of citizens stock. based on firstmerit’s average closing price for the 10 - day period that ended wednesday, that would value citizens’ stock at $ 22. 50 .
citizens bank shareholders approve flint bank' s sale to akron, ohio - based firstmerit corp .
this article is about a bank based in michigan. for other uses, see citizens bank .
a few years later, in 1890, citizens bucked the trend in banking and shifted from a national to a state bank, renamed citizens commercial & savings bank. despite this shift, citizens, like many other banks expanded throughout the early 20th century, adding new branches and departments .
after becoming a holding company in 1980, citizens banking corporation accelerated growth through mergers and acquisitions .
citizens bank was founded in flint in 1871 as citizens national bank during a time when the city' s lumber industry was booming. it dropped its national charter in 1890, becoming citizens commercial & savings bank, but not before handing out one of the most famous loans in flint history .
citizens started acquiring other banks and bank branches after it formed a holding company, citizens banking corporation, in 1981. it acquired four banks by 1985 and its first bank outside michigan in 1986 .
1871 - - founded as citizens national bank at the height of flint' s lumber industry boom .
jim golden, a new yorked - based public relations representative for citizens bank, pointed to a statement that citizens president and ceo cathy nash made in the companies' joint press release announcing the sale .
end of june, 2013 - - planned completion date for firstmerit' s acquisition of citizens banking corp .
citizens bank shareholders approve flint bank' s sale to akron, ohio - based firstmerit corp. | urltoken
griffin moores | urltoken the citizens bank weather ball as seen from saginaw street in downtown flint, mich .
, all former citizens branches will reopen as firstmerit locations. full signage change will occur later this year .
it would take a year from that sale to show that republic, which focused on home mortgages, had been sold at the top of the market. at the time of the deal, the great recession was a tsunami that only a few saw coming .
“it will be business as usual for customers of all former citizens branches as they become a part of firstmerit. customers will recognize the familiar faces from citizens who will continue to take care of their banking needs. ”
firstmerit, an akron, ohio - based banking company, completed its purchase of citizens bank on april 12, 2013, and is in the process of changing over all of citizens’ 220 - plus signs across the midwest .
cook said that at one point, income generated from citizens bank employees resulted in 50 percent of her business .
in april 2007, just as citizens was delving into the republic loans, the first branch of the community national bank of the south opened in orlando, fla. that was soon after campbell and his partners, including krasula, raised $ 49 million to launch a tampa, fla. - based bank - holding company, cnbs financial group inc. , later renamed homebancorp inc .
as per the deal terms, the shareholders of citizens' will get a fixed 1. 37 shares of firstmerit’s common stock for each share of citizens' common stock. considering the average ten - day closing stock price of firstmerit ended september 12, this will result in a valuation of $ 22. 50 for each of citizens’ shares .
citizens’ presence in the city has spurred many businesses, including a $ 2, 000 loan by citizens’ first president, robert j. whaley, to william c. durant in 1886 that led to the eventual creation of general motors .
however, firstmerit will have to repay the bailout money that citizens received. firstmerit intends to repay citizens' $ 345 million of tarp preferred stock issued to the u. s. treasury. also, there exists the risk of integration .
citizens’ stock closed wednesday at $ 19. 87 and opened thrusday on news of the acquisition at $ 20. 65 .
citizens, which operates 156 offices in michigan and many more across the midwest, will be rebranded under the firstmerit name .
immediately following the merger, citizens bank, a michigan chartered bank and wholly owned subsidiary of citizens, merged with and into firstmerit bank, n. a. , a national banking association and wholly owned subsidiary of citizens, with firstmerit bank, n. a. surviving the merger and continuing its corporate existence under the name firstmerit bank, n. a. 
the information is contained in a u. s. securities and exchange commission report citizens made on friday, april 5 .
the citizens sing began during the winter holidays in 1937. it started as an idea in the head of cashier leo kangas for a
christmastime community sing .
citizens allowed only females to be a part of the choir until the 1950s .
under the agreement, which was unanimously approved by the boards of directors of both companies, citizens’ shareholders will receive a fixed 1. 37 shares of firstmerit common stock in exchange for each share of citizens' common stock, the statement says. the deal values citizens shares 18 percent higher than sept. 13’s closing price, or about $ 23. 51 per share .
citizens banking corporation is a diversified financial services company providing a wide range of commercial, consumer, mortgage banking, trust, and financial planning services to a broad client base. citizens banking corporation serves markets through citizens bank offices in michigan and wisconsin, and through f & m bank offices in iowa. citizens banking corporation has roots going back to 1871 in flint, mich. , and is the second - largest bank holding company headquartered in michigan. citizens, with 181 branch, private banking, and financial center locations and 196 atms, is the 69th largest bank holding company in the united states, with assets of $ 7. 7 billion as of sept. 30, 2006. more information about citizens banking corporation is available at urltoken .
any citizens bank insiders who can update this one? i kind of hope it' s still the same process guy described .
, chairman, president and ceo .
it will be business as usual for customers of all former citizens branches as they become a part of firstmerit. customers will recognize the familiar faces from citizens who will continue to take care of their banking needs .
it will also be the sixth - largest bank in the midwest. the citizens bank takeover will mark firstmerit’s first footprint in michigan .
headquartered in flint, michigan. in addition to michigan, it has banks in wisconsin, ohio and indiana. in early november citizens
citizens national bank was established in 1871 at the height of flint' s great lumber industry. citizens national bank played a key role in the development of the auto industry in this country. general motors founder william c. durant acknowledged that a loan he and partner j. dallas dort received from citizens in 1886 enabled him to start his vehicle manufacturing company now known as general motors. [ 3 ]
the following factors, among others, could cause actual results to differ from those set forth in the forward - looking statements: the risk that the businesses will not be integrated successfully; deposit attrition and disruption from the transaction making it more difficult to maintain relationships with customers, employees or suppliers; the risk that the cost savings and any other synergies from the transaction may not be fully realized or may take longer to realize than expected; competition and its effect on pricing, spending, third - party relationships and revenues; movements in market interest rates and secondary market volatility; and unfavorable changes in economic and business conditions or the regulatory environment. additional factors that may affect future results are contained in citizens' and republic' s filings with the sec, which are available at the sec' s web site urltoken. citizens and republic disclaim any obligation to update and revise statements contained in these materials based on new information or otherwise .
firstmerit remained profitable throughout the economic downturn, but citizens struggled. citizens bank posted net income of $ 17 million last year after taking big losses from 2008 through 2010, according to federal deposit insurance corp. records. its worst loss was almost $ 286 million in 2010 .
citizens (nasdaq: cbcf) acquired the wisconsin and iowa bank branches when it purchased f & m bancorporation, kaukauna, in 1999 .
the iconic weather ball on top of the citizens bank headquarters in flint, michigan, 2011 courtesy of michigan municipal league / mml. org
6. another michigan bank erected a weather ball in 1967 in the same likeness of the citizens bank weather ball, even patterning a jingle after the citizens bank jingle. can you name the other bank, the colors of their ball and the city where the bank was located ?
brown brought up the weather ball jingle, which he said everyone knows. the poem helped citizens to understand the significance of its changing colors :
the ball was a sign of citizens' commitment to serve the community, according to a 1956 advertisement it used to introduce the weather ball .
flint, mi – the sign that was bolted to the front of 328 s. saginaw street in downtown flint no longer reads citizens bank .
local business owners agree that citizens bank’s presence - - and its nearly 600 employees in the downtown flint office - - has helped them flourish .
the $ 6 million purchase of a portion of the firstmerit - formerly citizens bank - downtown flint headquarters is expected to be complete by march 31 .
when you drive into flint, you see the weather ball on top of citizens bank ,
brown said .
it marked us .
. additional information about firstmerit' s executive officers and directors and citizens' executive officers and directors can be found in the above - referenced registration statement on form s - 4 when it becomes available. you can obtain free copies of these documents from firstmerit and citizens using the contact information above .
citizens has notified the nasdaq capital market (nasdaq) that at the effective time of the merger, each share of citizens common stock, no par value, issued and outstanding immediately prior to the effective time of the merger was converted into the right to receive 1. 37 shares of firstmerit common stock, no par value, plus a payment of cash in lieu of fractional shares. citizens requested that nasdaq file a notification of removal from listing on form 25 with the securities and exchange commission to delist shares of citizens common stock under section 12 (b) of the securities exchange act of 1934, as amended. accordingly, trading of citizens common stock on nasdaq will be suspended prior to the commencement of trading on april 15, 2013 .
citizens, which has 37 branches in metro detroit, was founded in 1871 as citizens commercial & savings bank, at the height of flint’s lumber boom. the city’s mills worked around the clock sawing the white pine that came by train from throughout northern michigan and built houses across the u. s .
firstmerit representatives alluded during the citizens bank purchasing process that the ball would remain, but that the lettering on it would change to reflect the new owners .
a temporary banner with that company name is being placed over all of the finished signs until the company completely drops the citizens bank name later this year .
flint emergency financial manager ed kurtz said citizens has been an important anchor to the city’s core – even before it got its moniker of “vehicle city. ”
ely said that firstmerit’s stock plunged 11 percent following the announcement of the sale and that could be proof that citizens got the better end of the deal .
under the terms of the agreement, which was unanimously approved by the boards of directors of both companies, citizens' shareholders will receive a fixed 1. 37 shares of firstmerit common stock in exchange for each share of citizens' common stock. based on firstmerit' s average ten - day closing stock price ended
the lawsuit stems from a complaint made by the board of governors of the federal reserve system in 2010. citizens bank is a part of the federal reserve .
on april 12, 2013, pursuant to the terms of the merger agreement, citizens merged with and into firstmerit, with firstmerit continuing as the surviving corporation .
flint, mi – firstmerit announced sept. 13 it would be acquiring flint' s citizens bank bank, and with it more than a century of history .
the citizens bank building as it' s seen today was built in 1928 on top of the bank' s first building at 328 s. saginaw st .
' s leadership. combining citizens' organization, operating philosophy and talented employees with those of firstmerit will make for an even stronger company ,
said greig .
while representatives for firstmerit said that it' s too early to forecast the future of the bank' s presence in the area, city officials, local economists and current citizens bank employees have all speculated about the possibility of citizens’ headquarters on south saginaw street in downtown flint becoming defunct, or less important to the local economy .
the announcement in a joint statement from both companies this morning comes nearly two months after it was reported that citizens hired j. p. morgan to search for buyers .
feb. 18, 1992 - - citizens pledged $ 15, 000 to central michigan university toward construction of applied business complex housing robert m. perry school of banking .
the bank will opened saturday, april 13, under the name “citizens bank, now part of firstmerit bank, ” and full signage change will occur later this year .
tim herman, ceo of the genesee regional chamber of commerce and president of uptown reinvestment corp. , said that citizens is a large contributor to flint and genesee county .
according to peggy nolde, genesee county equalization director, citizens is the 24th - largest taxpayer in the county, with a taxable value of $ 9. 82 million .
with 20 major investment firms owning 49. 9 percent of the stock in citizens bank, douglas predicted that there was
basically a zero percent chance that stockholders outside of those 20 major investors could stop the sale
because management at citizens had probably already received their approval for the sale prior to announcing its intentions to sell to the public .
citizens commercial & savings bank formed a holding company, citizens banking corporation, in 1981 to acquire additional banks. banks acquired were grayling state bank and state bank of standish in 1984. [ 6 ] citizens banking acquired second national bank of saginaw and second national bank of bay city in 1985. on november 6, 1986, citizens banking indicated that will purchase national bank of illinois as its first non - michigan acquisition followed in 1987 with the purchase of commercial national bank of berwyn, illinois. david t. dort, son of j. dallas dort, retired april 10, 1988, as the longest - serving director of citizen banking corp. after 22 years. [ 3 ]
citizens’ financial impact doesn’t stop with local businesses. according to documents obtained from the city of flint, the bank’s employees pay approximately $ 198, 000 annually in city income taxes. the flint citizens' branches also pay a combined $ 90, 255 in annual water bills and close to $ 266, 000 to the city in property taxes .
in 2008, citizens received $ 300 million in a troubles assets relief loan from the u. s. government. in july, it reported five consecutive quarters of profit .
the southern tower of citizens banking building in flint, michigan. the aging cb letters have since been replaced first with fm for firstmerit, then with hb for huntington bank .
acted as firstmerit' s legal counsel. j. p. morgan securities llc acted as financial advisor to citizens and rendered a fairness opinion in connection with the transaction, and
until the complete changeover of all of the signs, the company is being called “citizens bank, now part of firstmerit bank, ” and bears the logos of both companies .
pursuant to the merger agreement, holders of citizens common stock have a right to receive 1. 37 shares of common stock of firstmerit for each share of citizens common stock held immediately prior to the effective time of the merger, plus cash in lieu of fractional shares. pursuant to the merger agreement, outstanding citizens stock options, restricted stock units and other equity - based awards converted into fully vested and exercisable options and other equity - based awards with respect to shares of firstmerits common stock, with appropriate adjustments to reflect the exchange ratio .
firstmerit corp. has hired flushing - based business signs by crannie to switch over all of the citizens bank signs in genesee county and some outlying areas to the new firstmerit brand .
citizens has been one of michigan' s oldest and most storied banks. it was founded in flint in 1871 as citizens commercial & savings bank at the height of flint' s lumber boom, when the city' s mills worked around the clock sawing the white pine that came by train from throughout northern michigan and built houses around the u. s .
thanks for the comment... and the copy editing. after years of complaining about what editors have done to my work, i now realize i' m a pretty lousy copy editor. from now on, it' s citizens, not citizen' s. you sound like somewhat of an insider. any thoughts on what the future holds for citizens ?
fdic records show citizens was 12th in deposit market share in wisconsin last year, with about $ 1. 1 billion, or less than 1% of market share in the state .
bauer financial inc. rates firstmerit with four stars on a five - star scale, while citizens bank was rated at three - and - a - half stars on the same scale .
bloomberg reported that citizens was soliciting takeover bids form competitors, and that three unnamed sources told bloomberg the company hired j. p. morgan chase & co. to find a buyer .
on a pre - tax basis (approximately 22% of citizens' non - interest expenses), and anticipates that the transaction will be 7. 5% accretive to earnings in 2014 .
citizens will be rebranded to the firstmerit name. it is anticipated that the combined company will maintain its level of community involvement through charitable giving and other philanthropic activities following completion of the transaction .
ely said that even though the deal for the sale is in the works, another buyer – perhaps huntington or fifth third – could still come along and make an offer to purchase citizens .
firstmerit, citizens, and their respective directors, executive officers and certain other members of management and employees may be soliciting proxies from firstmerit and citizens shareholders in favor of the merger and related matters. information regarding the persons who may, under the rules of the sec, be deemed participants in the solicitation of firstmerit and citizens shareholders in connection with the proposed merger will be set forth in the joint proxy statement / prospectus when it is filed with the sec. you can find information about firstmerit' s executive officers and directors in its definitive proxy statement filed with the sec on
citizens banking, the flint, mich. - based holding company, filed applications with the federal reserve bank of chicago last july to consolidate the headquarters for f & m bank - wisconsin with citizens bank, its michigan - based bank. f & m bank president randall peterson said the consolidation will create a more efficient banking operation by allowing the banks to operate as a single entity .
“i don’t think (the sale of citizens) is going to have a huge effect on any branch offices locally, but it could shrink the number of loan officers and agents they have inside the banks here ,
he said .
the big impact will be determined when the citizens branch (downtown) decides how much it is going to retain here at the downtown office. ”
citizens opened for business on march 1. the bank’s founders commanded immense respect in the community and inspired confidence in the new venture, so much so that citizen’s capital doubled in just three months .
“this is, in effect, a market and geographic extension for firstmerit, ” ely said. “i’m sure we’ll see some consolidation, though. and to reiterate and go back, analysts seem to think this is a pretty good deal for citizens based on what’s been happening with firstmerit’s stock. that’s probably the reason citizens made this move. they just got a good offer at the right time. ”
according to firstmerit officials, the company will re - brand citizens bank to its firstmerit name and likeness. they say it' s too early to tell what they will do about the weather ball .
the new weatherball on the roof of citizens' downtown office is a symbol of the service being rendered to the flint community by this 85 - year - old banking institution ,
the ad said .
now part of huntington, the bank’s original location on saginaw street and its iconic weather ball continue to shine bright on the skyline, welcoming flint’s citizens to the day and the future—rain, snow or shine .
charles d. christy of evp & chief financial officer citizens banking corporation, + 1 - 810 - 237 - 4200, or charlie. christy @ cbcf - net. com, or kristine d. brenner investor relations of citizens banking corporation, + 1 - 810 - 257 - 2506, or + 1 - 989 - 725 - 7337, or investor. relations @ cbcf - net. com, or kbrenner @ urltoken
on the other hand, citizens, which suffered substantial losses during the financial crisis, has only recently recovered. however, increased regulations and stringent capital requirements along with exposures to problematic assets have been a concern .
“firstmerit’s stock took a hit and that reflects the idea that some investors feel like firstmerit overpaid for (citizens), ” he said. “it’s a tough call, especially when a bank has had problems. ”
“the citizens board and management team believe that combining with firstmerit will deliver significant value for our shareholders while allowing them to participate in the tremendous upside potential of a stronger bank with increased scale ,
said cathleen nash, president and ceo of citizens in the statement. “for our clients, this merger doubles the branch network, expanding it across the upper midwest, and provides access to an enhanced suite of products and services. ”
citizens, which is based in flint, mich. , has 49 branches in wisconsin, many of them in the northeastern part of the state, according to regulatory records. it has a branch in menomonee falls .
mlive - flint journal will host a live blog in the comments section of this post on thursday, june 13, at 11: 30 a. m. as firstmerit bank - - the new owners of citizens - - unveils renderings and plans for the redesign of the historic weather ball. firstmerit will announce the changes during an invite - only event at the former citizens bank headquarters at 328 s. saginaw st. in flint .
firstmerit submitted paperwork for to the sec for the purchase of citizens bank in september 2012 and the sale was approved by the federal reserve in late - march 2013 and by both banks' shareholders in early april 2013 .
in 1995, firstmerit corporation was formed when first bancorporation made its largest purchase to date, buying civista corporation in canton, ohio, the parent company of citizens savings. the name of the holding company changed shortly thereafter .
in their joint announcement thursday, citizens and firstmerit said the transaction
creates a unique, contiguous midwest banking franchise, expanding firstmerit' s footprint into michigan and wisconsin, as well as strengthening its presence in northeast ohio .
in august, bloomberg reported that huntington bancshares inc. might be interested in citizens, which is the 10 th largest bank by deposits in southeast michigan, according to crain' s list of largest banks and bank holding companies .
scott kincaid, flint city councilman, said it will be a sad day for the community once the acquisition goes through, sometime in june 2013. citizens has a long history of providing services to the community, he said .
“the citizens board and management team believe that combining with firstmerit will deliver significant value for our shareholders while allowing them to participate in the tremendous upside potential of a stronger bank with increased scale ,
nash said in the statement .
discussions in this release that are not statements of historical fact (including statements that include terms such as
will ,
may ,
should ,
believe ,
expect ,
anticipate ,
estimate ,
intend ,
and
plan
) are forward - looking statements that involve risks and uncertainties. any forward - looking statement is not a guarantee of future performance and actual results could differ materially from those contained in the forward - looking information. such forward - looking statements include, but are not limited to, statements about the benefits of the business combination transaction involving citizens and republic, including future financial and operating results, the new company' s plans, objectives, expectations and intentions and other statements that are not historical facts .
kristine brenner, director of investor relations for citizens bank, said the lawsuit has no merit and the bank reached a settlement with the justice department to avoid accruing costly legal fees. brenner said the claim isn’t based on factual information .
others like bob kittell – the owner of downtown flint' s mad hatter store – said he' s been hearing murmurs from citizens bank employees and the outlook isn' t so positive for workers at the bank' s headquarters .
oblendz is a smoothie stand located inside the u - m flint pavilion. owner jim hamlin said that even though most of his business is from students, a large percentage of customers is from other foot traffic, including citizens employees .
citizens has lost more than $ 1 billion since 2007 in commercial and residential real - estate loans — which forced the lender to operate under a supervisory agreement with the federal reserve bank of chicago. in april, the agreement was terminated .
. the two banks have reached an agreement under which citizens will be acquired by firstmerit in an all - stock deal valued at around $ 912 million, based on firstmerit' s average ten - day closing stock price ended september 12 .
“of course we’d be concerned about (citizens’ headquarters relocating), ” he said. “they’re very vital to the downtown area and the city of flint in everything from the income taxes they pay to simply being in the downtown area. ”
citizens banking corp. , based in flint, has bought four michigan banks from banc one corp. for $ 115 million. the four banks, in east lansing, fenton, sturgis and ypsilanti, will add 21 branches with $ 680 million in assets to citizens. the transaction, expected to close before the end of the year, increases citizens' assets by 25 percent, to $ 3. 5 billion from $ 2. 7 billion... a banc one spokesperson said it decided the money realized from the sale, which had been in the works for about five months, could be better utilized in other areas. but he emphasized that banc one did not rule out returning to branch banking in michigan .
flint, michigan — citizens bank will open a loan office in a black neighborhood in detroit and offer $ 3. 6 million in loans and grants throughout wayne county as part of a settlement with the department of justice amid allegations of redlining .
for our clients, this merger doubles the branch network, expanding it across the upper midwest, and provides access to an enhanced suite of products and services ,
said cathleen nash, president and ceo of citizens, in a statement .
“the big economic difference would come if citizens indeed were to shrink the bank’s workforce in flint and do most of the work in the ohio headquarters, ” said dennis ellis, professor emeritus of business economics at the university of michigan - flint .
“again, the biggest hit is going to be in the flint taxes that are generated from the bank and from the people that work in the bank. businesses around the bank will also take hits based on how much the citizens headquarters shrinks. ”
the event on thursday will take place from 11: 30 a. m. – 1 p. m. at the former citizens bank headquarters, and firstmerit will present a $ 5, 000 donation to the united way of genesee county as well .
with citizens' approval of the deal, firstmerit will become the sixth - largest banking group in the midwest with $ 24. 5 billion in assets, $ 15 billion in loans, almost $ 19 billion in deposits and nearly 5, 000 employees .
sandy pierce – vice chairman of firstmerit corporation, and chairman and ceo of firstmerit michigan – said in an april interview with mlive - flint journal, that the company would begin to rebrand citizens bank with the firstmerit bank logo in michigan starting this month .
in july, citizens announced the best quarter in its history, with net income of $ 297. 1 million, a result of being able to put federal tax credits back on its books after a year of sustained profitability following several years of quarterly losses .
mike killbreath, president of the flint area chamber of commerce, said that a blow to the local economy is inevitable following the bank' s sale, but he thinks that the city should try to attract other large businesses in the wake of citizens’ sale .
ely said that there could be a number of reasons why the sale happened. he said they could vary from citizens' unwillingness to pay costs associated with complying with new federal requirements, to both companies wanting to operate in the best interest of their shareholders .
chris douglass, an associate professor of economics at the university of michigan - flint, said that he expects some layoffs, but that he is unsure of the extent of the job losses because there is no overlap between citizens and firstmerit branches in the state of michigan .
citizens national bank, a predecessor of firstmerit corp. and now part of huntington, located its headquarters on the lot when it formed in 1871. the current building was completed in 1928 on the same spot, and the bank has had a strong presence ever since .
citizens national bank’s capital and reputation continued to increase, and one loan is especially worth mentioning. with an innovative idea to build a road cart with a spring seat, customer billy durant appealed to the president of citizens in 1886 for a $ 2, 000 loan, which was summarily approved. he used the funds to buy a patent and launch his business, later renamed durant - dort carriage company, which became the world’s largest. today, durant is more familiar for his role in co - founding another large carriage company known as general motors .
firstmerit expects to repay citizens’ $ 345 million of troubled asset relief program preferred stock, including $ 45 million of deferred dividends. following the transaction, firstmerit will have $ 24 billion in assets, $ 15 billion in loans and $ 19 billion in deposits, according to the statement .
the flint weather ball redesign is revealed on thursday, june 13, at a luncheon given by firstmerit bank, the new owner of the former citizens bank in flint. at left is the day view; at right is the night view. (kristin longley | mlive. com )
, president and ceo of citizens .
for our clients, this merger doubles the branch network, expanding it across the upper midwest, and provides access to an enhanced suite of products and services. furthermore, with shared core values and a similar culture, the combined company will provide increased opportunities to many of our bankers. on behalf of the entire citizens board and management team, we thank our dedicated employees for their continued hard work – especially over the past several years – and look forward to working with paul and the firstmerit team to complete this exciting transaction .
the citizens' deal, a $ 912 million all - stock sale, created the 55th largest bank in the u. s. , with more than $ 24 billion in assets, 415 offices and more than 5, 000 employees in pennsylvania, michigan, ohio, illinois and wisconsin .
“you don’t know if the bank is going to keep on improving or if it’s best – when things are going well – to take a good deal when it comes along, ” ely said. “as i understand, (citizens bank) was able to get a pretty good deal. ”
during the great depression, the bank closed its doors along with every other bank in the country for the 1933 bank holiday. the national order was intended to give banks relief from people withdrawing all their money. two banks in flint did not open after the holiday ended, but citizens survived .
“citizens is a good corporate, tax - paying organization, ” herman said. “they employ a lot of people in the community with their 22 branches in the county. with their headquarters in flint, and to have a significant number of employees downtown, it has a huge impact on downtown. ”
in 1886, citizens bank made a loan to william c. durant and j. dallas dort. durant would later say that this loan enabled him to start his vehicle - manufacturing career. he eventually would take over the buick motor company from david buick and found the general motors holding company in 1908 .
while officials from both banks have contended in the past that they didn' t know the future of the job outlook for current citizens bank employees – more than 600 of which work at the bank' s downtown headquarters – economists have said that it would only be a matter of time before layoffs would occur.
citizens republic bancorp ( primary operating name citizens bank ) was an american bank headquartered in flint , michigan that merged with firstmerit bank in 2013 . citizens republic bancorp operates in the states of michigan , ohio , indiana , and wisconsin under the firstmerit bank name . on september 13 , 2012 , it completed a merger agreement with firstmerit bank of akron , ohio . as of april 13 , 2013 , it became a subsidiary of the firstmerit corporation . the merger finalized on june 13 , 2013 . 
citizens republic bancorp (primary operating name citizens bank) was an american bank headquartered in flint, michigan that merged with firstmerit bank in 2013. citizens republic bancorp operates in the states of michigan, ohio, indiana, and wisconsin under the firstmerit bank name. on september 13, 2012, it completed a merger agreement with firstmerit bank of akron, ohio. as of april 13, 2013, it became a subsidiary of the firstmerit corporation. the merger finalized on june 13, 2013.
citizens republic bancorp (primary operating name citizens bank) was an american bank headquartered in flint, michigan that merged with firstmerit bank in 2013. citizens republic bancorp operates in the states of michigan, ohio, indiana, and wisconsin under the firstmerit bank name. on september 13, 2012, it completed a merger agreement with firstmerit bank of akron, ohio. as of april 13, 2013, it became a subsidiary of the firstmerit corporation. the merger finalized on june 13, 2013.