People’s United Bank will not be renewing its existing in-store branch contracts with Stop & Shop supermarkets in New York and Connecticut, resulting in the closure of 140 branches.
The Bridgeport-based bank said there will be no immediate impact to customers, as the exit will not begin immediately and is expected to take place in a phased approach over several years.
Thanking Stop & Shop for “a successful and beneficial relationship for more than two decades,” People”™s United Chairman and CEO Jack Barnes said: “Our focus remains on personalized relationships and balancing the needs of our customers. That will not change. Recent acquisitions have allowed us to optimize our branch footprint and, as a result, our Stop & Shop branch distribution closely mirrors that of our traditional branches.”
Nearly 80% of in-store Stop & Shop branches are located less than five miles from a current traditional branch location, Barnes added. The bank currently operates 84 Stop & Shop branch locations in Connecticut and 56 in New York.
As a result of the exit and cost-savings achieved over time by not renewing the contracts, People’s United anticipates investing further in its digital capabilities, including its mobile app and online banking, and strengthening its traditional branch network.
Stop & Shop had no immediate comment.
