Posts tagged: Umpqua Bank
None of Sterling Bank’s nine area branches will be closed during a round of reductions now taking place as Umpqua Bank begins aligning operations in the wake of its takeover of Sterling.
Bank officers are closing 27 branches across Washington, Oregon and California during the next several months. Those closures – including 13 branches in Washington along with seven each in Oregon and California – are occurring where both Umpqua and Sterling had branches within a few miles of each other, said company spokeswoman Eve Callahan.
Umpqua finished its purchase of Sterling two months ago in a $2 billion stock deal. The nearest Sterling closures to Spokane will be two Tri-Cities branches and one in Clarkston, Callahan said.
The two closed Tri-Cities Sterling branches were located inside Wal-Marts, she said.
In some cases the closed branch was an Umpqua operation, and in others it was a Sterling branch, she said.
In the Ballard neighborhood of Seattle, two branches were within 500 feet, she said. In that case, an Umpqua branch will be folded into the nearby Sterling branch.
The exact number of jobs lost has not yet been settled, Callahan said. No more branch closures are anticipated during 2014, she said.
While some may lament the loss of another company headquarters in the merger of Umpqua and Sterling banks, the good news is the new bank combines Sterling's solid lineup of strong departments with a bank widely considered an innovator in the financial services area.
Saturday's SR story on the merger noted the merger is now official.
Both banks in fact have been listed by Forbes magazine on its list of most respected U.S. banks.
In 2012 the bank listed Umpqua Holdings Corp. as the top-rated Oregon bank. It landed at 28 overall on the list.
Forbes used several criteria to devise the rankings, including profits, bad loans and several measures of capital.
Sterling was ranked No. 40 on the same list.
Photo credit: Dan Pelle for The Spokesman-Review
We'll be asking what the actual headcount reduction will be, following today's announcement that the Umpqua Bank merger with Sterling Bank has cleared all hurdles.
The first signs of the deal will be Sterling’s regional signs being replaced by Umpqua Bank signs the weekend of April 18 and continuing for the next 10 weeks.
Portland-based Umpqua will gain a financial services foothold in Eastern Washington. It is considered Oregon’s largest bank.
It’s paying about $1.9 billion in stock for Sterling, which has around 650 area workers and more than 2,600 across the service area, which includes Idaho, Oregon and California.
Sterling has 176 branches in those states and in Washington.
“We’ll be the largest community bank on the West Coast and the 34th largest community bank in the country,” Coon noted.
Sterling CEO Greg Seibly will stay with the company, previous news releases have said.
Merging with Sterling gives Umpqua roughly $22 billion in assets and almost 400 total branches.
Coon said the merger will result in the loss of some area Sterling positions. The full scope of that reduction is still being determined, she said.
Today's post: The No. 2 business story of the year for the Spokane North Idaho area.
Last week we posted No. 3, the widespread credit card breach connected to area grocery stores.
No. 2 is the acquisition of Spokane's largest home-based bank, Sterling Financial by Oregon-based Umpqua Bank. Our earlier story on the acquisition ran on Sept. 11, 2013.
Tomorrow, Dec. 31, we list the No. 1 business story for 2013. Because of our pick-the-top-story contest, the final story will determine who wins the SR OfficeHours $10 coffee card.
The day after Sterling Financial announced it's being taken over by Portland-based Umpqua Bank, here's one graphic that raises questions about who knew about the merger early-on.
The story of the announcement ran in the Sept. 12 Spokesman Review and online.
The graphic here shows a 30-day chart of the public share prices of Sterling vs. Umpqua vs. a regional community bank, PacWest Bank. All trade on the Nasdaq. Sterling is green, Umpqua is blue.
Sterling's stock shows the most impressive jump, and that has led some lurkers and outsiders to wonder who got advance word of the deal. The Great Stock Price Leap occurs from Aug. 21 through Aug. 24.