Business & Finance
Business and Finance
Business and Finance
Mon, November 8, 2010 NexTier Inc. Announces Termination of Merger Agreement with Northwest Bancshares, Inc.
BUTLER, Pa.--([ BUSINESS WIRE ])--NexTier Inc., the holding company for NexTier Bank, National Association, announced today it has terminated its agreement to merge with Northwest Bancshares, Inc. (Nasdaq: NWBI), citing Northwesta™s inability to secure regulatory approval for the merger.
"NexTier Bank is very pleased to be able to keep these jobs in our community"
aRegulatory approval is a condition to closing the merger,a explained Margaret Irvine Weir, NexTier Banka™s President. aIt has become clear that Northwest will not receive regulatory approval within the timeframe contemplated by the merger agreement. Therefore, it is in the best interest of NexTier and its stockholders and customers to formally terminate the merger agreement.a
According to Weir, aNexTier Bank has strengthened its competitive position over the past six months.a The bank has lowered its nonperforming loan portfolio by over 38 percent, and has continued to maintain its strong level of deposits.
NexTier Bank is also aggressively addressing its capital position. aWe continue to pursue alternative sources for capital for our organization and look forward to announcing the results of those efforts in the near future," said NexTier Bank's CEO, Don Shamey. "Our goal is to be able to announce more definitive information on our capital plan and strategic initiatives within the next 90 days."
In May 2010, NexTier and Northwest announced their agreement to merge. As a result of the termination of the merger agreement, plans to reduce NexTier Banka™s workforce as part of the consolidation have been cancelled. aNexTier Bank is very pleased to be able to keep these jobs in our community,a Weir said, adding aNexTier Bank customers will find abusiness as usuala™ at the banka™s 15 branches.a
About NexTier Inc.
NexTier Inc. has assets of $570 million and serves the western Pennsylvania region with corporate offices in Butler and Wexford. NexTier Inc. includes NexTier Bank, NexTier Insurance Services, NexTier Wealth Management, and NexTier Armored Services. NexTier Bank has 15 community offices throughout northern Allegheny, Butler and Armstrong counties and is in its fourth generation of leadership by the Irvine family.
