American Commercial Bank and Channel Islands Bank Merger Agreement Is Announced.VENTURA, Calif.--(BUSINESS WIRE)--July 7, 1998--A merger agreement between two leading Ventura County-based financial institutions, American Commercial Bank American Commercial Bank was formed in 1957 from the merger of Commercial Financial Bank and American Trust Co., in Charlotte, North Carolina. A predecessor to North Carolina National Bank (NCNB). (ACB ACB American Council of the Blind ACB Asia Commercial Bank ACB America's Community Bankers ACB Adjusted Cost Base ACB Alliance for the Chesapeake Bay ACB Amphibious Construction Battalion (US Navy) ACB Australian Cricket Board ) and Channel Islands Bank, was announced here Tuesday by the chairmen of the boards of both institutions. The announcement came at the signing of a definitive agreement under which Channel Islands Bank will merge with American Commercial Bank in exchange for common shares of Americorp, the holding company of ACB. American Commercial Bank has assets in excess of $134 million, four branch offices in Ventura and Camarillo Camarillo (kă'mərē`yō), city (1990 pop. 52,303), Ventura co., S Calif.; inc. 1964. It is the center of a fertile farm area where citrus fruits and flowers are grown. , and employs 80 people. Channel Islands Bank has $85 million in assets, three branch offices in Oxnard and Camarillo, and has 65 employees. Both are state-chartered banks that have similar operating styles, business philosophies and values. "The merger of these two leading community banks in the same region makes good sense at this time of increased competition from larger institutions headquartered outsideof the market because it will strengthen our ability to provide enhanced personal financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. for Ventura County residents and businesses," said Allen W. Jue, chairman of the board of directors of ACB, based in Ventura. "It will give customers of both banks greater convenience and flexibility." "This transaction is clearly advantageous to both bodies of shareholders because it will provide the resources needed for growth, resulting in a strong, profitable and more valuable institution," said Joseph L. Priske, chairman of the board of directors of Channel Islands Bank, with headquarters in Oxnard. "It is an unparalleled opportunity for us to grow with our customers' needs." In anticipation of further geographical growth throughout the region, the combined banks will retain the 25-year-old name of American Commercial Bank. The combined banks will have more than $220 million in assets and rank as the largest independently owned community bank with headquarters in Ventura County. Will full-service banking offices in Ventura, Oxnard and Camarillo, it will offer a comprehensive array of banking products, including equity loans, receivables Receivables An asset designation applicable to all debts, unsettled transactions or other monetary obligations owed to a company by its debtors or customers. Receivables are recorded by a company's accountants and reported on the balance sheet, and they and include all debts owed financing and residential mortgages. It will also be a preferred SBA SBA abbr. Small Business Administration Noun 1. SBA - an independent agency of the United States government that protects the interests of small businesses and ensures that they receive a fair share of government lender and a leader in innovative financing solutions for small- to mid-size businesses. Jue will be chairman of the new bank, while Priske will become vice chairman. Gerald J. Lukiewski, currently president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of American Commercial Bank, will retain those titles and be responsible for daily operations of the new organization. Lukiewski said the merger agreement is expected to be completed in the fourth quarter of 1998 and is subject to the approval of shareholders and state and federal regulators. "It's the perfect marriage," said Lukiewski. "Our collective understanding of the local market, and employee commitment to delivering superior service, will assure a smooth transition." According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Lukiewski, the transaction contemplates Channel Islands' shareholders receiving shares of Americorp based upon a book value to book value exchange ratio shortly before the merger. At May 31, 1998, Americorp had a book value of approximately $19.68 per share and Channel Islands had a book value of approximately $14.01 per share. As of June 30, 1998, Americorp's stock was quoted at $32 bid & $33 asked. The merger is structured to be tax free, is intended to be accounted for as a pooling of interest Noun 1. pooling of interest - an accounting method used in the merging of companies; the balance sheets are added together item by item; this method is tax-free and is expected to be immediately accretive to Americorp's earnings per share, exclusive of any future economies of savings. The tangible book value of the combined banks will be in excess of $18.6 million. ACB was formed 25 years ago by its founder, businessman Emilio J. Lagomarsino. Its first location was at the corner of California and Main streets in Ventura. Its headquarters are now located on South Mills Road in Ventura. Channel Islands Bank was formed in 1985 by its late chairman, Stanley E. Cohen cohen or kohen (Hebrew: “priest”) Jewish priest descended from Zadok (a descendant of Aaron), priest at the First Temple of Jerusalem. The biblical priesthood was hereditary and male. , Edward F. Paul and Jacqueline S Jacqueline, 1401–36, countess of Hainaut, Holland, and Zeeland (1417–33). The daughter and heiress of William IV, duke of Bavaria and count of Hainaut, Holland, and Zeeland, and of Margaret of Burgundy, Jacqueline was passed over for the succession to the . Pruner, who are still active on the board of directors, and also by Richard D. McNish, who retired from the board earlier this year.
CONTACT: American Commercial Bank, Ventura
Gerald J. Lukiewski, 805/658-6633, ext. 14
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