TD
Bank Financial Group to Acquire Commerce Bancorp
Toronto-Dominion (TD) Bank Financial Group
of Toronto, Canada, owner of TD Banknorth, announced
on October 2, 2007, its plans to acquire Commerce
Bancorp, Inc. of Cherry Hill, NJ.
The $8.5 billion (U.S.D.) cash and stock deal will
create the seventh largest bank in North America, based
on the number of branches. The merged entity will have
more than 2,000 branches in North America and approximately
one-quarter of a trillion dollars in deposits –
marking the first time a bank has had a critical mass
in both the U.S. and Canadian markets.
With the merger, anticipated to be finalized in March
or April of 2008, TD Bank will expand its market share
in New York, New Jersey, Connecticut, and Pennsylvania,
while entering the Virginia, Delaware, Washington, DC,
and Florida markets. (Boston Globe, 10/2/07; TD
Bank press release, 10/2/07; SNL Interactive, 10/2/07)
Mergers and Acquisitions
On October 17, 2007, RFS Holdings, B.V.
of Amsterdam, Netherlands, acquired ABN AMRO
Holdings N.V., of Amsterdam, Netherlands. The
Royal Bank of Scotland of Edinburgh,
Scotland, UK, owns 38 percent of RFS Holdings, while
Fortis Bank Nederland Holdings of Utrecht,
Netherlands, and Banco Santander of
Santander, Spain, own 33.3 percent and 27.9 percent,
respectively. (Internal sources, 10/29/07)
Crescent Credit Union of Brockton,
MA, completed its acquisition of Unity Credit
Union of Brockton, MA on September 30, 2007.
(Internal sources, 10/12/07)
Ledyard Financial Group, Inc. of Hanover,
NH, acquired Ledyard National Bank
of Norwich, VT, on October 5, 2007. (Internal sources,
10/19/07)
Mechanics Cooperative Bank of Taunton,
MA, completed its acquisition of Bridgewater
Cooperative Bank of Bridgewater, MA, on November
1, 2007. (Internal Sources, 11/02/07)
Mutual Security Credit Union, Inc.
of Wilton, CT, completed its acquisition of
Technology Groups Federal Credit Union of Watertown,
CT, on September 1, 2007. (Internal Sources, 10/05/07)
New Hampshire Thrift Bancshares, Inc. (NHTB)
of Newport, NH, announced on October 1, 2007,
that it completed its acquisition of First Community
Bank, of Woodstock, VT. First Community Bank
is now part of Lake Sunapee Bank, fsb,
which is a wholly owned subsidiary of NHTB. The combined
company has total assets of approximately $832.8 million
and a network of 29 branches in New Hampshire and Vermont.
(Internal sources, 10/05/07, First Community press
release, 10/01/07)
Ocean Bank of Portsmouth, NH, completed
its acquisition of Community Bank and Trust
Company of Wolfeboro, NH, on November 1, 2007.
Ocean Bank is a subsidiary of Chittenden Corporation
of Burlington, VT. (Internal sources, 11/02/07;
Chittenden Corporation press release, 10/31/07)
New Britain Municipal Employees Credit Union
of New Britain, CT, merged into Achieve Financial Credit
Union of Meriden, CT, on October 1, 2007. (Internal
sources, 10/12/07)
Dukes County Savings Bank of Edgartown,
MA, completed its acquisition of Martha’s
Vineyard Co-operative Bank of Vineyard Haven,
MA, on November 1, 2007. The combined banks operate
under a new corporate title, “Martha’s
Vineyard Savings Bank” of Edgartown,
MA. (Internal sources, 11/02/07)
Rockland Trust Co., a unit of Independent
Bank Corp., Inc., both of Rockland, MA, announced
on October 11, 2007, that it had agreed to acquire
Slade’s Ferry Bancorp of Somerset, MA.
The $103.5 million deal will expand Rockland Trust’s
presence in Bristol County, Massachusetts, by nine branches.
Pending regulatory approval, the transaction is expected
to close during the first quarter of 2008. (SNL
Bank M&A Weekly, 10/15/07; Independent Bank Corp
Press Release, 10/11/07)
On November 1, 2007, Independent Bank Corp
unit Rockland Trust, both of Rockland, MA,
completed its acquisition of O’Connell
Investment Services Inc. of Lincoln, RI. The
transaction adds approximately $200 million to the assets
already under management by Rockland Trust. (SNL
Bank & Thrift Daily, 11/02/07)
Corporate Title Changes
On September 20, 2007, Gardiner Savings Institution
FSB of Gardiner, ME, changed its corporate
title to Savings Bank of Maine.
(Internal sources, 9/28/07)
Wendor Mutual Benefit Association Credit Union
of West Hartford, CT, changed its corporate
title to West Hartford Credit Union,
Inc., effective with the opening of business on September
20, 2007. (Internal sources, 9/28/07)
Branch Openings/Closings
Benjamin Franklin Bank of Franklin,
MA, opened a branch on Main Street in Watertown, MA,
on October 24, 2007. (Internal sources, 11/02/07)
FamilyFirst Bank of Ware, MA, opened
a branch at 1090 West Main Street in East Brookfield,
MA, on October 1, 2007. (Internal sources, 11/02/07)
Institution for Savings (formerly
Institution for Savings in Newburyport and Its Vicinity)
of Newburyport, MA, opened a branch on Haverhill Street
in Rowley, MA. (Internal sources, 10/19/07)
Mansfield Cooperative Bank of Mansfield,
MA, opened a branch at 729 West Center Street in West
Bridgewater, MA, on October 9, 2007. (Internal sources,
11/02/07)
Mount Washington Co-Operative Bank
of South Boston, MA, opened a branch on Talbot Avenue
in Dorchester, MA, on August 7, 2007. (Internal
sources, 11/02/07)
People’s United Bank, a unit
of People’s United Financial Inc., of Bridgeport,
CT, opened a branch in Milford, CT, on October 24, 2007.
The new branch is People’s Bank's 86th branch.
(SNL Bank Mergers & Acquisitions Weekly, 10/29/07;
People’s United Bank press release, 10/22/07)
RBS Citizens, NA, of Providence, RI,
closed four branches on October 9, 2007. Branches closed
at the following locations: Main Street in Medford,
MA; Edgell Road in Framingham, MA; Broad Street in Hudson,
MA; and Riverside Avenue in Medford, MA. (Internal
sources, 10/12/07, 10/19/07)
RBS Citizens, NA, of Providence, RI,
opened a “Stop & Shop” branch on Walkes
Brook Drive in Reading, MA, on September 21, 2007. (Internal
sources, 9/28/07)
TD Banknorth, NA, of Portland, ME,
opened a branch on Boylston Street, in Boston, MA, on
September 10, 2007. (Internal sources, 10/12/07)
Webster Bank, NA, of Waterbury, CT,
opened a branch in Longmeadow, MA, on September 24,
2007. On October 18, Webster Bank opened a branch on
River Street in New Rochelle, NY. A third branch was
opened in Longmeadow, MA, on October 19, 2007. (Internal
sources, 10/12/07; SNL Bank Mergers & Acquisitions
Weekly, 10/22/07)
Conversion
Meridian Interstate Bancorp, a unit
of Meridian Financial Services, Inc.,
of East Boston, MA, plans to offer up to 13,291,125
shares of stock at $10.00 each in connection with the
planned conversion of East Boston Savings Bank into
a mutual holding company. (SNL Bank & Thrift
Weekly, Northeastern Edition, 10/01/07)
Rule Proposed to Implement
“Unlawful Internet Gambling Enforcement Act”
On October 1, 2007, the Department of the Treasury
and the Federal Reserve Board of Governors announced
the release of a joint proposed rule to implement the
Unlawful Internet Gambling Enforcement Act (the Act).
The Act prohibits gambling businesses from accepting
payments in connection with unlawful Internet gambling,
including payments made through credit cards, electronic
fund transfers, and checks.
The proposed rule would require U.S. financial firms
that participate in designated payment systems to have
policies and procedures in place to prevent payments
being made in connection with unlawful Internet gambling.
Comments on the proposed rule are requested by December
12, 2007. More details on the proposed rule and instructions
on how to submit comments are available by viewing the
agencies’ joint press release online at: http://www.federalreserve.gov/newsevents/press/bcreg/20071001a.htm.
(Joint agency press release, 10/1/07)
Agencies Issue Final Rules
on Affiliate Marketing
On October 25, 2007, the federal financial regulatory
agencies issued final rules providing consumers with
an opportunity to “opt out” before a financial
institution uses information provided by an affiliated
company to market its products and services to the consumer.
The rules implement section 214 of the Fair and Accurate
Credit Transactions Act of 2003, which amends the Fair
Credit Reporting Act (FCRA).
The rules prohibit a financial institution from using
certain information from an affiliate to solicit consumers,
unless the consumer is given notice and a reasonable
opportunity to opt out of such solicitation. The rules
implement the statutory exceptions to the affiliate
marketing notice and opt-out requirements. To facilitate
compliance, model forms are included with the notice.
The rules are effective on January 1, 2008, and compliance
is required no later than October 1, 2008.
To review detailed information about the rules and
the model forms, please view the agencies’ press
release online at www.federalreserve.gov/newsevents/press/bcreg/20071025a.htm.
(Joint agency press release, 10/25/07)
Board of Governors
Announces Amendments to Five Regulations Related to
Electronic Disclosures
On November 1, 2007, the Federal Reserve Board announced
the adoption of amendments to five consumer financial
services and fair lending regulations (Regulations B,
E, M, Z, and DD) to clarify the requirements for providing
consumer disclosures in electronic form.
The amendments, which represent final action on a proposal
issued for comment in April, simplify the Board’s
rules by (1) withdrawing unnecessary portions of the
2001 interim final rules that restate or cross-reference
provisions of the Electronic Signatures in Global and
National Commerce Act (E-Sign Act); (2) withdrawing
provisions of the 2001 interim final rules that may
impose undue burdens on electronic banking and commerce
and may be unnecessary for consumer protection; and
(3) adopting certain provisions that provide guidance
on the use of electronic disclosures. The mandatory
compliance date is October 1, 2008.
The Board’s press release and detailed summaries
of the regulatory changes may be viewed online at www.federalreserve.gov/
newsevents/press/bcreg/20071101a.htm.
(Source: Board of Governors’ press release, 11/01/07)
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