CLEVELAND, July 29, 2016 /PRNewswire/ -- KeyCorp (NYSE:
KEY) announced today that it has closed its acquisition of First
Niagara Financial Group, Inc. (NASDAQ: FNFG) ("First Niagara").
Systems and client conversion is expected during the fourth
quarter of 2016, subject to pending regulatory approval by the
Office of the Comptroller of the Currency ("OCC") for the merger of
First Niagara Bank into KeyBank.
"Key and First Niagara are a powerful combination, driven by a
shared commitment to the clients and communities we serve," said
Beth Mooney, KeyCorp CEO and Chair.
"Our teams have worked hard over the past nine months to bring our
two organizations together. As we begin to move forward, as one
company, I am excited for the opportunities we have to accelerate
our performance, drive growth and maximize long-term value for our
clients, communities, employees, and shareholders."
The acquisition, which was announced on October 30, 2015, will include the addition of
approximately 300 branches in New
York, Pennsylvania,
Connecticut, and Massachusetts, giving Key more than 1,200
branches throughout its 15 state footprint. The merger will
also add approximately $29 billion in
deposits and total assets of $40
billion to KeyCorp, based on June 30,
2016, balances. KeyCorp received regulatory approval
from the Federal Reserve for the acquisition on July 12, 2016.
Clients will continue to use their First Niagara accounts and
other banking services until the fourth quarter, when accounts are
expected to convert to KeyBank, subject to pending OCC regulatory
approval. KeyBank will communicate directly to First Niagara
clients about conversion plans and timing.
About KeyCorp
KeyCorp was organized more than 160
years ago and is headquartered in Cleveland, Ohio. One of the nation's
largest bank-based financial services companies, Key had assets of
approximately $101.2 billion at
June 30, 2016. Key provides deposit,
lending, cash management and investment services to individuals and
small and mid-sized businesses in 12 states under the name KeyBank
National Association and will expand to 15 states and a network of
more than 1,200 branches and more than 1,500 ATMs with the
acquisition of First Niagara Bank. Key also provides a broad
range of sophisticated corporate and investment banking products,
such as merger and acquisition advice, public and private debt and
equity, syndications and derivatives to middle market companies in
selected industries throughout the United
States under the KeyBanc Capital Markets trade name.
For more information, visit https://www.key.com. KeyBank
is Member FDIC.
Forward-Looking Statements
This communication
contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995 including, but not
limited to, KeyCorp's expectations or predictions of future
financial or business performance or conditions. Forward-looking
statements are typically identified by words such as "believe,"
"expect," "anticipate," "intend," "target," "estimate," "continue,"
"positions," "plan," "predict," "project," "forecast," "guidance,"
"goal," "objective," "prospects," "possible" or "potential," by
future conditional verbs such as "assume," "will," "would,"
"should," "could" or "may", or by variations of such words or by
similar expressions. These forward-looking statements are subject
to numerous assumptions, risks and uncertainties, which change over
time. Forward-looking statements speak only as of the date they are
made and we assume no duty to update forward-looking statements.
Actual results may differ materially from current projections.
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SOURCE KeyCorp