Shareholders Approve Merger

On November 9, shareholders of Webster Financial Corporation, Waterbury, CT, and New England Community Bancorp, Windsor, CT, approved Webster's pending acquisition of New England Community Bancorp. The transaction is subject to OTS approval. As of June 30, 1999, Webster Financial Corporation had total deposits of $5.7 billion and ranked third among all commercial banking and thrift institutions in Connecticut. As of the same date, New England Community Bancorp had total deposits of $599.5 million and ranked 15th. (SNL Weekly BankFax, 11/15/99)

On November 23, Camden National Bancorp, Camden, ME, said it had received all necessary regulatory approvals to acquire KSB Bancorp Inc., Kingfield, ME. Previously, on November 17, shareholders of Camden National Corporation and KSB Bancorp approved KSB Bancorp's acquisition by Camden National Corporation. As of June 30, 1999, Camden National Bancorp had total deposits of $514.8 million and ranked fifth among all commercial banking and thrift institutions in Maine. As of the same date, KSB Bancorp Inc. had total deposits of $134.2 million and ranked 26th. (SNL Weekly BankFax, 11/22; SNL Weekly BankFax, 11/29/99)

On November 15, Valley Bank, Bristol, CT, a state-chartered bank and trust company, opened for business. (Internal Notice, 11/16/99)

On October 29, New London Trust, FSB, New London, NH, ceased to exist, after selling their main office and six branches. (Internal Notice, 11/3/99)

On October 27, Independent Bank Corporation, Rockland, MA, agreed to acquire 12 Massachusetts branches from Fleet Boston Corporation, Boston, MA, with total deposits of $269 million. As of June 30, 1999, Independent Bank Corporation had total deposits of $1.1 billion and ranked 23rd among all commercial banking and thrift institutions in Massachusetts. As of the same date, Fleet Financial Group, Inc., had total deposits of $21.6 billion and ranked second, and BankBoston Corporation had total deposits of $28.9 billion and ranked first. On November 24, American Bank of Connecticut, Waterbury, CT, agreed to purchase three Connecticut branches from FleetBoston Financial for an undisclosed amount. As of June 30, 1999, American Bank of Connecticut had total deposits of $526.8 million and ranked 17th among all commercial banking and thrift institutions in Connecticut. As of the same date, Fleet Financial Group, Inc. had total deposits of $14.2 billion and ranked first, and BankBoston Corporation had total deposits of $2.8 billion and ranked fifth. On November 24, Webster Financial Corporation, Waterbury, CT, signed a definitive agreement to purchase three Connecticut branches from FleetBoston Financial, Boston, MA, for an undisclosed amount. As of June 30, 1999, Webster Financial Corporation had total deposits of $5.7 billion and ranked third among all commercial banking and thrift institutions in Connecticut. (SNL Weekly BankFax, 11/1; SNL Weekly BankFax, 11/29/99)

On October 30, Mascoma Savings Bank, Lebanon, NH, purchased two branches from New London Trust, FSB, New London, NH, with total deposits of $63.5 million. As of June 30, 1999, Mascoma Savings Bank had total deposits of $241.7 million and ranked 11th among all commercial banking and thrift institutions in New Hampshire. As of the same date, New London Trust, FSB, had total deposits of $109.3 million and ranked 25th. On October 30, Lake Sunapee, FSB, Newport, NH, purchased three branches from New London Trust, FSB, New London, NH, with total deposits of $99.4 million. As of June 30, 1999, New Hampshire Thrift Bancshares, Newport, NH, parent company of Lake Sunapee, FSB, had total deposits of $277.6 million and ranked ninth among all commercial banking and thrift institutions in New Hampshire. On October 30, Cargill Bank, Putnam, CT, purchased two branches from New London Trust, FSB, New London, NH, with total deposits of $110.6 million. As of June 30, 1999, Westbank Corporation, West Springfield, MA, parent company of Cargill Bank, had total deposits of $42.9 million and ranked 73rd among all commercial banking and thrift institutions in Connecticut. As of the same date, New London Trust, FSB, had total deposits of $171.4 million and ranked 42nd. (Internal Notice, 11/3; SNL Weekly BankFax, 11/8/99)

On October 29, Merchants Bank, a subsidiary of Merchants Bancshares Inc., Burlington, VT, completed its acquisition of two branches from Vermont National Bank, Brattleboro, VT, with total deposits of $40.9 million. As of June 30, 1999, Merchants Bancshares, Burlington, VT, parent company of Merchants Bank, had total deposits of $551.4 million and ranked third among all commercial banking and thrift institutions in Vermont. As of the same date, Chittenden Corporation, Burlington, VT, parent company of Vermont National Bank, had total deposits of $2.6 billion and ranked first. On November 5, Charter One Bank, FSB, Cleveland, OH, purchased fourteen branches from Vermont National Bank, Brattleboro, VT, with total deposits of $320.9 million. As of June 30, 1999, Charter One Financial, Inc., Cleveland, OH, parent company of Charter One Bank, FSB, had total deposits of $667.5 million and ranked 36th among all commercial banking and thrift institutions in New England. As of the same date, Chittenden Corporation, parent company of Vermont National Bank, had total deposits of $3.6 billion and ranked 11th. (Internal Notice, 11/3; SNL Weekly BankFax, 11/1; Internal Notice, 11/9; SNL Weekly BankFax, 11/22/99)

On November 17, Webster Financial Corporation, Waterbury, CT, signed a definitive agreement to acquire six Connecticut branches of Chase Manhattan Bank, with total deposits of $165 million, from Chase Manhattan Corporation, New York, NY, for an undisclosed amount. Chase will retain the branches' middle market, municipal and trust accounts. As of June 30, 1999, Webster Financial Corporation had total deposits of $5.7 billion and ranked third among all commercial banking and thrift institutions in Connecticut. As of the same date, Chase Manhattan Corporation had total deposits of $52.1 million and ranked 69th. On November 5, Charter One Bank, FSB, Cleveland, OH, purchased fourteen branches from Vermont National Bank, Brattleboro, VT, with total deposits of $320.9 million. As of June 30, 1999, Charter One Financial, Inc., Cleveland, OH, parent company of Charter One Bank, FSB, had total deposits of $667.5 million and ranked 36th among all commercial banking and thrift institutions in New England. As of the same date, Chittenden Corporation, parent company of Vermont National Bank, had total deposits of $3.6 billion and ranked 11th. (SNL Weekly BankFax, 11/22/99)

On November 1, Bank of New York Company, New York, NY, completed its acquisition of RBS Trust Bank and an equity interest in RBSI Security Services Ltd. from Royal Bank of Scotland, Plc, Edinburgh, Scotland. On November 15, Bank of New York Company, New York, NY, completed its acquisition of Estabrook Capital Management, New York, NY. On November 16, Bank of New York Company, New York, NY, completed its acquisition of Citibank's Eurobond paying agency business, located in Brussels, Belgium, from Citigroup Inc., New York, NY. (SNL Weekly BankFax, 11/8; SNL Weekly BankFax, 11/22/99)

On November 2, Citigroup, Inc., New York, NY, agreed to acquire Diners Club of Japan, Inc., from joint owners Fuji Bank and Japan Travel Bureau, Inc., for an undisclosed amount. Completion of the deal is expected by early December. Upon completion, Citigroup's Japanese card portfolio would eclipse American Express Co.'s as the largest foreign one in the country. (SNL Weekly BankFax, 11/8/99)

On November 2, Federal Deposit Insurance Corporation (FDIC) Chairman Donna Tanoue said, in a speech to thrift industry executives, that banks and thrifts specializing in sub-prime loans should be required to hold considerably more capital than current regulations stipulate. Tanoue said that the FDIC has targeted 150 banks and thrifts whose sub-prime loan portfolios amount to more than 20 percent of their capital, and that such institutions, while representing a small segment of the banking industry, tend to cause higher deposit insurance costs upon failure. (SNL Weekly BankFax, 11/8/99)

On November 15, Fed Chairman Alan Greenspan said the regulator will seek to cooperate with financial services companies and interject itself only in critical circumstances, following the passage of financial services reform legislation. He stated that the Fed has strong incentives and statutory restrictions which should prevent it from extending bank-like regulation over newly created banking affiliate institutions. (SNL Weekly BankFax, 11/22/99)

On November 22, a Fed survey of senior loan officers found that banks have tightened their business lending practices and household demand for credit has reportedly declined, particularly in the mortgage market. The survey found that Consumer and Industrial loans to large and middle-market firms showed firming, while no change was found in small-business lending. (SNL Weekly BankFax, 11/29/99)

The November 1, 1999 issue of Bank Notes article entitled, "Southington Completes Sale of Trust Department," incorrectly identifies the acquiring company as U.S. Trust Corporation of Connecticut, Greenwich, CT. The correct acquirer was Trust Company of Connecticut, Hartford, CT.

Items in Bank Notes focused on developments affecting banking structure in New England. They were condensed from daily newspapers and press releases from federal and state financial regulatory agencies. Their reproduction does not imply our endorsement of the accuracy, opinions or policies reflected in the subject matter.Items in Bank Notes focused on developments affecting banking structure in New England. They were condensed from daily newspapers and press releases from federal and state financial regulatory agencies. Their reproduction does not imply our endorsement of the accuracy, opinions or policies reflected in the subject matter.