With its recent acquisition of Marin's financially troubled Tamalpais Bank, San Francisco-based Union Bank will increase its North Bay branches from three to 11.
“Our plan is to keep all seven branches open,” Tim Wennes, Union Bank vice chairman and chief retail banking officer, said of the former Tamalpais locations. “We think the North Bay is a very attractive market and wanted to have a stronger presence in it.”
Union Bank previously had three North Bay branches, one in Kentfield, one in San Rafael and one in Petaluma. Next month, a branch will open in Sonoma. With the seven branches from Tamalpais, Union will have 11 in the North Bay. There are no branches in Napa, but Union Bank has a business office in St. Helena that serves the wine industry.
In the fourth quarter, the bank will open branch in Mill Valley.
Other than the Tamalpais acquisition, Union Bank, with 346 branches in California, Oregon and Washington, has had only organic growth.
“We have been actively seeking growth opportunities, but we are strategic,” Mr. Wennes said.
Mr. Wennes said the bank plans to increase its business banking activities and add a mortgage program in specialized jumbo mortgages.
Pierre Habis, a Union senior executive vice president and head of branch banking, said the bank is attempting to retain as many Tamalpais employees that want to stay.
Mark Garwood, formerly the CEO of Tamalpais Bank, is the only employee to date that is not with Union Bank, said Mr. Wennes.
In addition to staff retention, Union Bank is continuing in the tradition of Tamalpais Bank in terms of community involvement.
“Union Bank is pretty big on community involvement,” Mr. Habis said. “We are going to continue to be the presenting sponsor of the Heart of Marin awards.”
Union Bank also has a program where employees can choose an organization to volunteer at during work hours.
“And we pay them,” Mr. Habis said.
Depositors of Tamalpais Bank all automatically became depositors of Union Bank on April 16 and continue to be insured by the FDIC.
Sonoma Bank parent company Sterling Financial Corp. in Spokane, Wash., announced a capital infusion of $134.7 million from a private-equity firm, helping Sterling meet the requirements of a federal regulatory order in October of last year.
The letter agreement is with Boston-based Thomas H. Lee Partners. In March, federal officials said Sterling would have to raise $650 million.
According to the document filed with the Securities and Exchange Commission, “THL’s investment and the U.S. Treasury transaction … would be conditioned upon each other and on other closing conditions, including Sterling raising a total of at least $720 million (inclusive of the THL investment), which will enable it to meet all of its regulatory capital requirements.”
Under the terms of agreement, THL Managing Director Scott Jaeckel will join the Sterling board of directors.
Sterling President and Chief Executive Officer Greg Seibly said, “We are extremely pleased to be partnering with THL on our recapitalization efforts. THL has a long and successful track record of investing across the financial services landscape. Additionally, we appreciate the continued support of the Treasury as the exchange transaction is a critical component of the overall plan to improve our capital position.”