KeyCorp will close 106 branches in four states, including 15 in the Hudson Valley, as part of its $4.1 billion acquisition of Buffalo-based First Niagara Financial Group.
The merger between the two banks was approved by the Federal Reserve on Tuesday, KeyCorp announced, and should be complete by August 2016.
The Cleveland-based KeyCorp announced the branch closings on July 11, but also noted that all employees in affected branches will be offered comparable jobs at other KeyBank locations. That offer won over Sen. Charles Schumer (D-N.Y.), who had publicly shared concerns with the acquisition costing New Yorkers jobs after it was first announced in November.
Schumer released a press release Monday saying he and U.S. Rep. Brian Higgins (D-Buffalo) had worked with KeyBank to secure a commitment that, by 2021, KeyBank will have at least the same number of employees in New York as the two separate institutions have currently — 6,117.
“After months of discussions and tough negotiations with KeyBank, I am pleased that we were able to reach an agreement that ensures thousands of KeyBank and First Niagara jobs will remain in Western New York for years to come,” Schumer said in a statement.
KeyCorp has agreed to cut no more than 250 jobs and add at least 500 new jobs in New York over the next three years, Schumer said.
Seventy of the closing branches are First Niagara and 36 are KeyBank. For the majority of the closing branches, there is another First Niagara or KeyBank location within a mile, according to KeyCorp.
The closures will come in phases, starting with 69 First Niagara locations in October and continuing through 2017.
KeyCorp said in a release that the merger will allow it to expand its network to more than 1,200 branches and more than 1,500 ATM locations in 15 states.
The deal increases KeyCorp’s assets by about $40 billion, to $133 billion, and places it among the top 20 U.S. banks by assets, Bloomberg reported.
The list of branch closures released by KeyCorp Monday does not include any First Niagara Fairfield County locations.
Here are the planned closures in the Hudson Valley:
- First Niagara, 600 Bedford Rd., Bedford Hills. Closing in October.
- First Niagara, Erie St & Route 303, Orangetown. Closing in October.
- First Niagara, 101 Kings Mall Court, Kingston. Closing in October.
- First Niagara, 117 East Route 59, Nanuet. Closing in October.
- First Niagara, 219 South Main St., New City. Closing in October.
- First Niagara, 1 Lagrange Ave., Poughkeepsie. Closing in October.
- First Niagara, 180 South Liberty Dr., Stony Point. Closing in October.
- First Niagara, 62 Lafayette Ave., Suffern. Closing in October.
- First Niagara, 16 Route 303, Tappan. Closing in October.
- Key, 800 Westchester Ave Floor 4, Rye Brook. Closing in November.
- Key, 338 Rt. 59, Nyack. Closing in 2017.
- Key, 23 South Moger Ave., Mount Kisco. Closing in 2017.
- Key, 88 Croton Ave., Ossining. Closing in 2017.
- Key, 230 N. Middletown Road, Pearl River. Closing in 2017.
- Key, 366 Windsor Highway, New Windsor. Closing in 2017.