DUNMORE, Pa.--(BUSINESS WIRE)--
Fidelity D & D Bancorp, Inc. (“Fidelity”) (OTC US: FDBC) and its banking
subsidiary Fidelity Deposit and Discount Bank (“Fidelity Bank”) and GNB
Financial Services, Inc. (“GNB”) (OTC: GNBF.PK), the bank holding
company of The Gratz Bank (“Gratz Bank”), announced today the execution
of a Transfer Agreement whereby The Gratz Bank will cease offering Trust
department services and transfer to Fidelity Bank its Trust business and
accounts located at its Gratz Bank Minersville location.
Daniel J. Santaniello, Fidelity and Fidelity Bank President and Chief
Executive Officer, stated, “This transfer of Gratz Bank’s Trust business
is part of our strategic plan to profitably grow our Trust and Wealth
Management business. We believe that our client centric relationship
model is advantageous to our clients and consistent with our values and
business culture. Further, this transfer is expected to add long-term
value to Fidelity’s business. We look forward to Gratz Bank Trust
customers joining the Fidelity family.”
Once the trust account transfer is complete, the retail banking
operation of Gratz Bank in Minersville will not be affected and will
continue as is. This transition provides the opportunity to continue to
serve Trust clients in a community bank setting in the current location.
As a larger community Trust Services provider, Fidelity Bank will be
able to provide additional Trust resources to better meet the financial
goals of Gratz Bank Trust customers, while maintaining outstanding
customer service. The goal of both banks is to create a seamless and
worry-free transition for our clients.
As part of the joint effort between GNB and Fidelity to ensure a smooth
transition, we are happy to announce that Jim O’Brien will be joining
the Fidelity Bank Wealth Management team and that he will remain in his
current office space in Minersville. The transaction has been
unanimously approved by the boards of directors of both companies.
Wesley M. Weymers, GNB and Gratz Bank President and Chief Executive
Officer, stated, “As we look to the future to focus on those areas that
Gratz Bank excels at, we find our focus and expertise is in the
community banking arena. We are pleased to undertake this transfer with
a community financial institution that shares our values and culture of
client service and believe the transaction will provide advantages for
Trust clients and allow us to focus on our bank business activities.
This transfer will be positive to our shareholders, reduce cost, and
allow us to focus on other aspects of the banking business.”
Bybel Rutledge LLP served as legal counsel to Fidelity and Fidelity Bank
and Joseph C. Michetti, Jr. of Diehl, Dluge, Michetti & Michetti served
as legal counsel to GNB and Gratz Bank.
About Fidelity D & D Bancorp, Inc.
Fidelity D & D Bancorp, Inc. has built a strong history as
trusted advisors to the customers served by The Fidelity Deposit and
Discount Bank, and is proud to be an active member of the community of
Northeastern Pennsylvania. The Company serves Lackawanna and Luzerne
Counties through The Fidelity Deposit and Discount Bank’s 10 community
banking office locations providing personal and business banking
products and services, including wealth management assistance through
fiduciary activities with the Bank’s full trust powers; as well as
offering a full array of asset management services. The Bank provides 24
hour, 7 day a week service to customers through branch offices, online
at www.bankatfidelity.com,
and through the Customer Care Center at 800-388-4380. Fidelity Bank has
been named “Best Bank” by the readers of the Scranton Times 3 years in a
row, has been named a top 200 Community Bank in the country by American
Banker, and has received a five-star rating by the independent bank
watchdog Bauer Financial.
About GNB and Gratz Bank
GNB Financial Services, Inc. is the bank holding company for The Gratz
Bank, headquartered in Gratz, Pennsylvania and operating four community
banking offices located in the Herndon, Valley View, Gratz, and
Pottsville. The Gratz Bank was established in 1934 and has been serving
the financial needs of its neighbors and friends for more than 75 years.
For more information about GNB and Gratz Bank, visit its website at www.gratzbank.com.
Caution Regarding Forward-Looking Statements
The foregoing material may contain forward-looking statements. We
caution that such statements may be subject to a number of uncertainties
and actual results could differ materially and therefore readers should
not place undue reliance on any forward looking statements. With respect
to Fidelity D & D Bancorp, Inc., a number of important factors could
cause actual results to differ materially from those currently
anticipated in any forward-looking statement. Such factors include, but
are not limited to: prevailing economic and political conditions,
particularly in our market area; credit risk associated with our lending
activities; changes in interest rates, loan demand, real estate values
and competition; changes in accounting principles, policies, and
guidelines; changes in any applicable law, rule, regulation or practice
with respect to tax or legal issues; and other economic, competitive,
governmental, regulatory and technological factors affecting Fidelity D
& D Bancorp, Inc.’s operations, pricing, products and services and other
factors that may be described in Fidelity D & D Bancorp, Inc.’s Annual
Reports on Form 10-K and Quarterly Reports on Form 10-Q as filed with
the Securities and Exchange Commission (“SEC”) from time to time. In
addition to these risks, the trust department transaction presents risks
other than those presented by the nature of the business acquired. Trust
department acquisitions may be substantially more expensive to complete
than originally anticipated, and the anticipated benefits may be
significantly harder—or take longer—to achieve than expected. As
regulated financial institutions, our pursuit of attractive trust
department acquisition opportunities could be negatively impacted by
regulatory delays or other regulatory issues. Regulatory and/or legal
issues related to trust department acquisition may cause reputational
harm to Fidelity D & D Bancorp, Inc. following the acquisition, and
integration of the acquired business with ours may result in additional
future costs arising as a result of those issues. Fidelity D& D Bancorp,
Inc. does not undertake to update any forward-looking statement, whether
written or oral, that may be made from time to time by or on behalf of
Fidelity D & D Bancorp.
With respect to GNB, this news release may contain “forward-looking
statements” which are made in good faith by GNB. These forward-looking
statements include statements with respect to GNB’s strategies, goals,
beliefs, expectations, estimates, intentions, financial condition,
results of operations, future performance and business. Statements
preceded by, followed by or that include the words “may,” “could,”
“should,” “pro forma,” “looking forward,” “would,” “believe,” “expect,”
“anticipate,” “estimate,” “intend,” “plan” or similar expressions
generally indicate a forward-looking statement. These forward-looking
statements involve risks and uncertainties that are subject to change
based on various important economic, regulatory, legal and technological
factors, among other, could cause GNB’s financial performance to differ
materially from the goals, plans, objectives, intentions and
expectations expressed in such forward-looking statements. GNB cautions
that the foregoing factors are not exclusive, and neither such factors
nor any such forward-looking statement takes into account the impact
that any future transaction may have on GNB and any such forward-looking
statement. GNB does not undertake to update any forward-looking
statement, whether written or oral, that may be made from time to time
by or on behalf of GNB.
View source version on businesswire.com: http://www.businesswire.com/news/home/20161220006049/en/
GNB Financial Services, Inc.
The Gratz Bank
Wesley M. Weymers
President
and Chief Executive Officer
717-365-3181
or
Fidelity D &
D Bancorp, Inc.
Fidelity Deposit & Discount Bank
Daniel J.
Santaniello
President and Chief Executive Officer
570-504-8035
Source: Fidelity D & D Bancorp, Inc. and GNB Financial Services, Inc.