Usb Buys Wells Fargo Branches Local Bank Doubles Eastern Washington Branch Network

United Security Bancorporation Friday announced the proposed purchase of five Eastern Washington branches from Wells Fargo Bank.

If the deal is completed this summer, as expected, Spokane-based United Security will have increased its branch network by 50 percent in one stroke.

Previously, President William ‘Bud’ Dashiell noted, the company has expanded by building new branches one at a time.

He would not disclose the terms, but said the deal involves about $40 million in deposits. Wells Fargo keeps the loans, except those secured by deposits.

He said all employees in the branches will be retained.

The offices in Moses Lake and Davenport will be added to United Security Bank, which is also based in Spokane. The bank already has seven offices in Chewelah, Colville, Ione and Kettle Falls, as well as Spokane.

Wells Fargo branches in Walla Walla, Naches and Mabton will carry the Home Security Bank label. Home Security is based in Sunnyside, with branches in Yakima and Prosser.

At the end of February, total deposits for the two banks were $194.5 million, Dashiell said.

Although acquisition of the branches brings the two halves of the holding company’s operations closer together, Dashiell said they will keep their separate identities.

Keeping the subsidiaries distinct strengthens ties to their communities, he said, adding that any future acquisitions will be handled in the same way.

Wells Fargo Executive Vice President Joe Stiglich said the branches are not compatible with that institution’s strategy, which relies heavily on in-store branching, automated-teller machines and other innovations.

“Rather than offer limited services, we believe these communities would be better served by local ownership where banking can continue to be delivered as it is today,” he said.

Wells Fargo acquired the branches last year when it merged with First Interstate Bank.

, DataTimes