FLINT, Mich. and ANN ARBOR, Mich., Nov. 30 /PRNewswire-FirstCall/ --
Citizens Banking Corporation ("Citizens") (Nasdaq: CBCF) and Republic
Bancorp Inc. ("Republic") (Nasdaq: RBNC) announced today that shareholders
of both companies have approved their merger. Citizens and Republic
announced plans to merge in June 2006 and expect the transaction to close
by the end of 2006, pending receipt of regulatory approvals and other
customary closing conditions.
"This merger will create a leading Midwest franchise that enhances our
core markets, sales culture, product capabilities, and credit competencies,
and will also improve our presence in attractive, high-growth markets,"
said William R. Hartman, chairman, president and CEO of Citizens. "Most
importantly, it will position us to enhance long-term shareholder value."
Hartman will serve as CEO of Citizens Republic Bancorp ("Citizens
Republic") following completion of the merger.
"Because our banks complement each other in many ways and by
implementing the best practices from each organization, we will have an
even greater ability to deliver superior products and services to our
customers. This translates into an opportunity for stronger financial
performance and enhanced shareholder value," said Dana M. Cluckey,
president and CEO of Republic. Mr. Cluckey will serve as president and
chief operating officer of Citizens Republic.
Upon completion of the transaction, Citizens Republic will represent a
strong regional brand and will be better positioned to compete with super-
regional as well as community banks. Based on September 30, 2006 data, the
combined entity will be the 45th largest bank holding company headquartered
in the United States with market capitalization of $2.0 billion, assets of
$14.0 billion, deposits of $8.7 billion, and trust assets under
administration of $2.6 billion. Citizens Republic will provide a full
complement of commercial, cash management, wealth management, and specialty
lending products and services to Republic customers as well as enhanced
SBA, commercial real estate and mortgage banking products and services for
Citizens customers through 269 branch and loan production offices and 286
ATMs in Michigan, Wisconsin, Ohio, Iowa, and Indiana. This partnership will
significantly increase the Southeast Michigan presence to 39 locations,
giving Citizens Republic almost 5 percent of total deposit market share in
Michigan, and placing over 35 percent of its deposits in high-growth
markets.
About Citizens Banking Corporation
Citizens Banking Corporation is a diversified financial services
company providing a wide range of commercial, consumer, mortgage banking,
trust, and financial planning services to a broad client base. Citizens
Banking Corporation serves markets through Citizens Bank offices in
Michigan and Wisconsin, and through F&M Bank offices in Iowa. Citizens
Banking Corporation has roots going back to 1871 in Flint, Mich., and is
the second-largest bank holding company headquartered in Michigan.
Citizens, with 181 branch, private banking, and financial center locations
and 196 ATMs, is the 69th largest bank holding company in the United
States, with assets of $7.7 billion as of Sept. 30, 2006. More information
about Citizens Banking Corporation is available at
http://www.citizensonline.com .
About Republic Bancorp Inc.
Republic Bancorp Inc., with $6.2 billion in assets, is the third
largest bank holding company headquartered in Michigan and the 82nd largest
bank holding company in the country. Its subsidiary, Republic Bank, serves
customers in Michigan, Ohio and Indiana with 88 retail, commercial and
mortgage banking offices and 90 ATMs. Republic has consistently been the #1
Small Business Administration bank lender based in Michigan and one of the
Midwest's top retail mortgage lenders. Republic was named the 17th Best
Company to Work For by FORTUNE magazine (marking the sixth year on
FORTUNE's "100 Best Companies to Work For" list) and named to Working
Mother magazine's list of "100 Best Companies for Working Mothers" for the
sixth year in a row. More information about Republic Bancorp Inc. is
available at http://www.republicbancorp.com .
Safe Harbor Statement
Discussions in this release that are not statements of historical fact
(including statements that include terms such as "will," "may," "should,"
"believe," "expect," "anticipate," "estimate," "intend," and "plan") are
forward-looking statements that involve risks and uncertainties. Any
forward- looking statement is not a guarantee of future performance and
actual results could differ materially from those contained in the
forward-looking information. Such forward-looking statements include, but
are not limited to, statements about the benefits of the business
combination transaction involving Citizens and Republic, including future
financial and operating results, the new company's plans, objectives,
expectations and intentions and other statements that are not historical
facts. The following factors, among others, could cause actual results to
differ from those set forth in the forward-looking statements: the risk
that the businesses will not be integrated successfully; deposit attrition
and disruption from the transaction making it more difficult to maintain
relationships with customers, employees or suppliers; the risk that the
cost savings and any other synergies from the transaction may not be fully
realized or may take longer to realize than expected; competition and its
effect on pricing, spending, third-party relationships and revenues;
movements in market interest rates and secondary market volatility;
divestitures assumed and/or required; potential conditions that may affect
the tax-free status of the Republic stock exchange for Citizens' common
shares; and unfavorable changes in economic and business conditions or the
regulatory environment. Additional factors that may affect future results
are contained in Citizens' and Republic's filings with the SEC, which are
available at the SEC's web site http://www.sec.gov . Citizens and Republic
disclaim any obligation to update and revise statements contained in these
materials based on new information or otherwise.
SOURCE Republic Bancorp Inc.; Citizens Banking Corporation
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Related links:
http://www.republicbancorp.com
http://www.citizensonline.com
CONTACT:
Kathleen O. Miller, Investor Relations of
Citizens Banking Corporation, +1-810-257-2506,
Kathleen.Miller@cbcf-net.com ; or Kristine D. Brenner, Investor
Relations of Republic Bancorp Inc., +1-989-725-7337,
kbrenner@republicbancorp.com
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