Bank Merger Won’t Include Matsko Future Of Third And Stevens Branch Under Review

Steve Matsko will step down as area president for U.S. Bancorp as part of a management restructuring that follows completion of its merger last week with First Bank System.

But the reshuffling in the bank’s historic downtown office tower will be invisible to customers, who can expect few if any changes in its 17-branch Spokane network, he said.

Continued operation of the branch at Third and Stevens is under review, Matsko said, but no decision has been made on its future.

At the same time, officials are looking for more locations, he said.

Matsko said the absence of any overlap with First Bank System’s branch network in the Midwest and Rocky Mountain states was one of the benefits of combining with the Minneapolis-based institution.

Pre-merger, U.S. Bancorp had operations in Washington, Idaho, Oregon, California, Utah and Nevada.

Another advantage of the merger will be access to First Bank’s electronic banking capabilities, among the most advanced in the industry, Matsko said.

Conversion to First Bank’s computers will likely take place next May, he said.

The $9 billion merger with First Bank was completed Friday. Although First Bank was the purchaser, the combined institutions, with $72 billion in assets, will retain the U.S. Bancorp name to foster a national image.

The bank employs about 360 people in Spokane, but that number will shrink when a student lending operation with about 20 workers closes early next year.

Spokeswoman Dianne Haines said First Bank has long had a very successful student loan office of its own.

Employees will get severance packages worth up to two year’s salary, she said.

First Bank officials estimated a total of 4,000 jobs would be pared as a result of the merger, many of those at U.S. Bancorp’s Portland headquarters.

Matsko said responsibility for ongoing U.S. Bancorp operations in Eastern Washington will be split three ways by mid-fall.

John Spaid, now a regional manager in Seattle, will move to Spokane to become district sales manager in charge of lending operations

Rob Stevenson, who has been regional service manager, retains those duties as district service manager. He will oversee operation of the branches.

And Senior Vice President Bob Wigren will continue to handle business banking, plus the bank’s community relations.

Matsko said the change, one he has long advocated, will put greater focus on satisfying customer needs.

Matsko started with Old National Bancorporation, which was purchased by U.S. Bancorp in 1987. He spent all but two weeks of his 32 years with the bank in Spokane.

He said he plans to become a financial planner, a field in which he is already certified. He does not know if he will work independently or join an existing firm.

, DataTimes