By Mark Scott
Buffalo, NY – There is a major deal involving two Buffalo area banks.
First Niagara announced Monday that it is acquiring Greater Buffalo Savings Bank. The deal is valued at $153 million. It will make First Niagara the fourth largest bank in the region in the amount of deposits held.
First Niagara President John Koemel says some jobs will be cut, though the exact number is not yet known.
"Consistent with our focus on our best and most profitable growth opportunities, we are expanding our presence in Buffalo and Erie County, a major strategic priority for us, in an effective and efficient way," Koelmel said.
Greater Buffalo came on the scene with great fanfare more than a decade ago and is now operating 16 branches throughout the region.
"We are both maximizing shareholder value and making sure that our customers will continue to receive the same customer focused banking services they are used to," said Andrew Dorn Jr., president and chief executive of Great Lakes Bancorp., which has $892 million in assets.
The deal is expected to close in the first quarter of 2008.