Merger Announcement

On September 15, Dime Bancorp Inc., New York, NY, and Hudson United Bancorp, Mahwah, NJ, signed a definitive agreement to undergo a merger of equals. The transaction will create Dime United Bancorp, a holding company with a bank unit to be called DimeBank. The pooling-of-interests transaction is valued at $1.6 billion. The combined bank would have deposits of $22 billion and more than 330 branches in New York, New Jersey, Connecticut, and Pennsylvania. As of June 30, 1998, Hudson United Bancorp had total deposits of $1.9 billion and ranked 14th among all commercial banking and thrift institutions in New England. (American Bkr., 9/16; Boston Globe, 9/16; SNL Weekly BankFax 9/20/99)

On September 18, Bank of Easthampton, A Co-operative Bank, Easthampton, MA, merged with Florence Savings Bank, Florence, MA, under the charter and title of Florence Savings Bank. As of June 30, 1998, Florence Savings Bank had total. deposits of $314.7 million and ranked 48th among all commercial banking and thrift institutions in Massachusetts. As of the same date, Bank of Easthampton, A Co-operative Bank, had total deposits of $9.1 million and ranked 230th.

On September 25, United Bank, Greenfield, MA, merged with The Bank of Western Massachusetts, Springfield, MA, under the charter and title of The Bank of Western Massachusetts. As of June 30, 1998, Chittenden Corporation, the parent holding company of The Bank of Western Massachusetts, had total deposits of $498.8 million and ranked 30th among all commercial banking and thrift institutions in Massachusetts. As of the same date, Vermont Financial Services Corporation, the parent holding company of United Bank, had total deposits of $237.8 million and ranked 67th. (Internal Notice, 9/20; 9/27/99)

On December 31, 1998, Forum Trust, LLC Portland, Maine, , a state-chartered, nonmember, nondepository trust company, opened for business. (Internal Notice, 9/22/99)

On August 27, BankBoston (NH), National Association, Nashua, NH, changed its title to Harris Bank (NH), National Association. On January 19, Boston Equiserve Trust Company, National Association, Canton, MA, changed its title to Equiserve Trust Company, National Association. On September 1, Cape Cod Bank , Trust Company, Hyannis, MA, a state-chartered nonmember bank, converted to a nationally chartered bank. The new title is Cape Cod Bank , Trust Company, National Association. On September 8, Atlantic Bank and Trust Company, Boston, MA, changed its title to Capital Crossing Bank. (Internal Notice, 9/10; 9/2; 9/22/99)

On September 7, Fleet Financial Group, Boston, MA, received approval from the Federal Reserve Board of Governors (Fed) to acquire BankBoston Corporation, Boston, MA. The Fed said the banks will address the competitive effects of the proposal through branch divestitures. The merger would create the eighth-largest banking company in the United States. As of June 30, 1998, Fleet Financial Group, Inc. had total deposits of $41.8 billion and ranked first among all commercial banking and thrift institutions in New England. As of the same date, BankBoston Corporation had total deposits of $32.7 billion and ranked second. Fleet officials hope to finalize the deal in the fourth quarter of 1999 and fully integrate the two banks' operations by the end of the first quarter of 2000. (American Bkr., 9/9; Boston Globe, 9/8; SNL Weekly BankFax, 9/13/99)

On September 9, Sovereign Bancorp, Wyomissing, PA, was announced as the winning bidder for most of the New England branches being divested by Fleet Financial Group, Boston, MA, as a prelude to Fleet Financial Group's planned merger with BankBoston Corporation, Boston, MA. Fleet Financial Group is divesting 306 branches with total deposits of $13.2 billion, the largest banking divestiture in United States history. Sovereign, a new entrant into the New England region, will acquire 278 branches, with total deposits of $11.8 billion, for an undisclosed amount. The transaction, which is subject to Office of Thrift Supervision approval, is expected to be completed in April. On September 15, Eastern Bank Corporation, Lynn, MA, agreed to acquire four Massachusetts branches from Fleet Financial Group, Boston, MA, with total deposits of $200 million, for an undisclosed amount. As of June 30, 1998, Eastern Bank Corporation had total deposits of $2.2 billion and ranked seventh among all commercial banking and thrift institutions in Massachusetts. The transaction, which is subject to regulatory approval, is expected to be completed in the late spring or early summer of 2000. On September 16, CCBT Bancorp Inc., Hyannis, MA, agreed to acquire two Massachusetts branches from Fleet Financial Group, Boston, MA, with total deposits of $67 million, for an undisclosed amount. As of June 30, 1998, CCBT Bancorp Inc. had total deposits of $720.9 million, and ranked 18th among all commercial banking and thrift institutions in Massachusetts. The transaction, which is subject to regulatory approval, is expected to be completed in the late spring or early summer of 2000. On September 26, Independent Bank Corporation, Rockland, MA, agreed to buy 12 Massachusetts branches from Fleet Financial Group, Boston, MA, with total deposits of $269 million. As of June 30, 1998, Independent Bank Corporation had total deposits of $1 billion and ranked 11th among all commercial banking and thrift institutions in Massachusetts. (SNL Weekly BankFax, 9/13; Boston Globe, 9/8; Boston Globe, 9/13; American Bkr., 9/3; SNL Weekly BankFax, 9/20; American Bkr., 9/20; Boston Globe, 9/28/99)

On September 14, Mellon Bank Corporation, Pittsburgh, PA, said that it would change its name to Mellon Financial Corporation. This year, Mellon has moved away from commercial banking services and further towards investment services, divesting its mortgage servicing, credit card, and transaction processing divisions. The bankplans to continue building asset management, trust, and custody operations through a combination of internal investments, acquisitions, and joint ventures. (American Bkr., 9/15/99)

On September 10, de novo bank Forum Financial Group, Portland, ME, received approval from the Maine Bureau of Banking to open an uninsured bank. Maine changed its banking law in 1997 to allow for uninsured banks, which are not allowed to accept retail deposits. (SNL Weekly BankFax, 9/13/99)

On September 13, Boston Bank of Commerce, Boston, MA, received Federal Deposit Insurance Corporation approval to assume the deposits of Peoples National Bank of Commerce, Miami, FL. On September 10, Peoples National Bank of Commerce was closed by the Office of the Comptroller of the Currency. As of June 30, 1998, Boston Bank of Commerce had total deposits of $55.7 million and ranked 189th among all commercial banking and thrift institutions in Massachusetts. (Internal Notice, 9/15; SNL Weekly BankFax, 9/20/99)

On September 9, State Street Corporation, Boston, MA, signed a definitive agreement to buy the custody and institutional trust business of Wachovia Corporation, Winston-Salem, NC, for an undisclosed amount. Through this acquisition, State Street would expand its "middle market" and broaden its geographical penetration to the Southeast. As of June 30, 1998, State Street Corporation had total deposits of $12.6 billion and ranked fourth among all commercial banking and thrift organizations in New England. This transaction, which is subject to regulatory and shareholder approval, is expected to be completed by late October. (Boston Globe, 9/10; SNL Weekly BankFax, 9/13/99)

On September 24, People's Mortgage Corporation, a unit of People's Bancshares Inc., New Bedford, MA, completed its acquisition of Allied Bancshares, Severna Park, MD. Allied Bancshares is a retail mortgage banking company with operations in Maryland, Virginia, and Florida. (SNL Weekly BankFax, 9/27/99)

On September 10, Hudson United Bancorp, Mahwah, NJ, agreed to acquire commercial finance company Lyon Credit Corporation, Stamford, CT, from Credit Lyonnais America, New York, NY, for an undisclosed amount. The transaction is expected to be completed in the third quarter. (American Bkr., 9/16; NY Times, 9/11; SNL Weekly BankFax, 9/13/99)

On August 30, North Fork Bancorp, Melville, NY, signed a definitive agreement to acquire Reliance Bancorp Inc., Garden City, NY, in a stock deal valued at $354.4 million. The acquisition would be North Fork's second in the New York metropolitan area within a month. Early on August 16, North Fork Bancorp agreed to acquire JSB Financial, Inc., Lynbrook, NY. The transaction, which is subject to regulatory and shareholder approval, is expected to be completed in the first quarter of 2000. (NY Times, 8/31; SNL Weekly BankFax, 9/7/99)

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.