Branches are Being Divested to Satisfy U.S. Department of Justice (DOJ) Requirements for Columbia’sΒ Pending Merger withΒ Umpqua
( TACOMA, Wash.Β andΒ MOUNTLAKE TERRACE, Wash.,Β Nov. 7, 2022 /PRNewswire)– Columbia Banking System, Inc. (NASDAQ: COLB), the parent company of Columbia Bank (“Columbia“), today announced thatΒ ColumbiaΒ has entered into a purchase and assumption agreement to sell seven branches inΒ WashingtonΒ and Oregon to 1st Security Bank ofΒ WashingtonΒ (“1st Security”), the wholly-owned subsidiary of FS Bancorp, Inc. (NASDAQ:Β FSBW).
ColumbiaΒ and 1st Security will provide additional information to customers of the branches to be divested. The agreement includes approximatelyΒ $510 millionΒ in deposits and approximatelyΒ $76 millionΒ in loans as well as owned real estate and fixed assets associated with the branches. The branches are being divested to satisfy commitments to the U.S. Department of Justice (“DOJ”) in connection with Columbia Banking System’s pending merger with Umpqua Holdings Corporation (“Umpqua“). The sale is expected to be completed in the first quarter of 2023, subject to regulatory approvals and other closing conditions, including the consummation of Columbia Banking System’s merger withΒ Umpqua. All employees will be retained by 1st Security and all branches will remain in operation after the sale.
“We are pleased to find a partner for these branches with a reputation for service and community support and will work to provide a seamless transition for our customers and employees,” said Columbia President and CEOΒ Clint Stein. “This agreement satisfies a key DOJ requirement to proceed toward closing our transformational merger withΒ Umpqua.”
Joe Adams, CEO of 1st Security commented, “We are excited about the proposed acquisition of these branches and the expansion of our franchise into the Oregon market. As experienced acquirors, we are committed to providing our new customers and employees with the best possible transition fromΒ ColumbiaΒ and look forward to offering our personalized banking services to these communities for years to come.”
1st Security Bank will acquire the following branches:
- 506 Southwest Coast Highway,Β Newport, Oregon
- 425 Northwest Hemlock,Β Waldport, Oregon
- 98 South Oregon Street,Β Ontario, Oregon
- 715 Laneda Avenue,Β Manzanita, Oregon
- 1806 Third Street,Β Tillamook, Oregon
- 202 West Main Street,Β Goldendale, Washington
- 390 Northeast Tohomish Street,Β White Salmon, Washington
About ColumbiaΒ Β Β
Headquartered inΒ Tacoma,Β Washington, Columbia Banking System, Inc. (NASDAQ:Β COLB) is the holding company of Columbia Bank, aΒ Washington state-chartered full-service commercial bank with offices inΒ Washington,Β Oregon,Β California,Β IdahoΒ andΒ Utah. The bank has been named one ofΒ Puget Sound Business Journal’sΒ “Washington’sΒ Best Workplaces,” more than 10 times.Β ColumbiaΒ was named on theΒ ForbesΒ 2022 list of “America’s Best Banks” marking 11 consecutive years on the publication’s list of top financial institutions. More information aboutΒ ColumbiaΒ can be found on its website atΒ www.columbiabank.com.
About 1st SecurityΒ Β Β
1st Security Bank ofΒ Washington, member FDIC and Equal Housing Lender, provides loan and deposit services to customers at its twenty-one branches, and mortgage services at each branch as well as lending offices in the greater Puget Sound area,Β Vancouver, and the Tri-Cities. FS Bancorp, Inc., aΒ WashingtonΒ corporation, (NASDAQ:Β FSBW) is the holding company for the Bank. The bank was rated the number one Community bank nationally in Bank Director’s 2022 “Ranking Banking” study, as well as the #1 Leadership Team of all banks studied nationally. 1st Security is the top bank in its category in the Puget Sound Business Journals “Washington’sΒ Best Workplaces” from 2015-2022 and named one
of American Banker’s “Best Banks to Work For” from 2017-2021. For more information visit 1st Security Bank’s website atΒ www.fsbwa.com.
