Two venerable Dutchess County banks have agreed to merge, creating a stronger new institution.
The Bank of Millbrook and Stissing National Bank in Pine Plains on April 20 announced they have an agreement that has been approved by the boards of directors of both institutions.
The two banks serve Dutchess County, with Millbrook’s main office in the Village of Millbrook and a branch office in Amenia. Stissing has its main office in Pine Plains and has a branch in Stanfordville.
Financial details about the merger were not disclosed. Both banks are privately held. Millbrook Bank System Inc., the holding company for The Bank of Millbrook, will acquire all shares of SNB Bancorp Inc., the holding company for Stissing National Bank.
“We firmly believe that this proposed merger will create a stronger institution, with increased capital and a natural geographic union that will greatly benefit our respective franchises, communities and customers,” said George T. Whelan, president and CEO of the Bank of Millbrook, in a statement.
“It should be a seamless transition for the customer,” Whelan added by phone. He said customers will be able to keep their current checks and that he expects their account and bank routing numbers and other particulars will be retained. And he said that the merger will be simplified because both banks already use the same computer program to run account operations.
The merger will be a boon to customers, agreed Stissing officials. “The combination of capital, complementary business models and similar markets will provide immediate benefits to our customers,” said Kevin S. McLaren, Stissing”™s president.
The merger is expected to be completed in the third quarter of this year. First, regulatory clearances must be obtained.
Millbrook was founded in 1891 and has assets of $148 million; Stissing founding was in 1839 and the bank has assets of $50 million.
Whelan said he expects the merger to enable more products to be offered, enlarge the size of loans and better enable the bank to compete with larger institutions. “The combination of these two banks will allow for enhanced products and services to be provided to our customers, including the ability to have more sizable credit relationships, and will allow us to compete better with larger financial institutions,” he said.
McLaren said the merger will provide customers with a stronger bank better able to serve local customers, with each bank enjoying new branches after the merger. “We believe that this merger will provide more certainty that our two communities will continue to be served well into the future by a locally owned, well-capitalized financial institution that has a small-town-rooted vision of customer service with a true community banking philosophy.”
Whelan said the signage adorning the merged bank branches is undetermined, but said officials hope to maintain references to Stissing. “We see value in the Stissing name,” he said, noting it was one of the first banks chartered in New York.