Colonial Bank to acquire Dalton/Whitfield Bank & Trust, Dalton, Ga.MONTGOMERY, Ala.--(BUSINESS WIRE)--Aug. 5, 1996--Colonial BancGroup Chairman, 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. and President Robert E. Lowder along with D/W D/W abbr. Law dock warrant Bankshares President and CEO Charles Y. Allgood jointly announced today that the companies have signed a letter of intent to merge D/W Bankshares into Colonial. D/W Bankshares' subsidiary, Dalton/Whitfield Bank & Trust of Dalton, Ga., will be merged into BancGroup's Georgia subsidiary, Colonial Bank Colonial Bank, a subsidiary of Colonial Bancgroup Inc. NYSE: CNB, is headquartered in Montgomery, Alabama. Colonial Bank has 300 branches in the states of Alabama, Georgia, Florida, Nevada and Texas. Its common stock is traded on the NYSE under the symbol CNB. , headquartered in Atlanta. Colonial will exchange sufficient common stock to equal $27.39 per share for D/W's outstanding shares, a total value of $19.2 million. In addition, Colonial will assume D/W options and subordinated debentures subordinated debenture An unsecured bond with a claim to assets that is subordinate to all existing and future debt. Thus, in the event that the issuer encounters financial difficulties and must be liquidated, all other claims must be satisfied before based on the $27.39 price per share which will bring the total value to approximately $22.3 million. The transaction will be accounted for as a pooling of interests Pooling of Interests An accounting method, used in mergers and acquisitions, where the balance sheet items of the two companies are simply added together. Notes: The opposite of pooling of interests is the purchase acquisition method. . At June 30, 1996 Dalton/Whitfield had consolidated assets of $139.7 million, capital of $10.4 million, and net income of $785,000 for the six months ended June 30, 1996. Dalton/Whitfield currently has two offices located in Dalton. A third office is scheduled to open in October. Dalton, located in northwest Georgia Northwest Georgia includes the counties of:
"We are very pleased to have an agreement with such a well-run, profitable institution. Dalton will be a good market for the expansion of Colonial's current operations in Georgia," said Lowder. "I am excited about the proposed transaction with Colonial Bank," said Allgood. "Colonial has a strong community bank philosophy; therefore, I think this transaction will be in the best interest of our customers, employees and shareholders." Completion of the transaction is subject to approval by various regulatory bodies and D/W Bankshares' shareholders. Colonial BancGroup is a multi-bank holding company headquartered in Montgomery with assets of $4.5 billion and 127 full service offices in Alabama, Florida, Georgia and Tennessee. It is traded on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. under the symbol CNB CNB Czech National Bank CNB Centro Nacional de Biotecnologia CNB City National Bank CNB Citizens National Bank CNB Croatian National Bank CNB Chloronitrobenzene CNB Corresponsales No Bancarios (Spanish, Colombia) . In most newspapers the stock is listed as ColBgp. CONTACT: Colonial BancGroup, Montgomery Walter Hargrove, 334/240-5590 or Colonial Bank, Atlanta Alan Romanchuck, 770/379-8601 or Dalton/Whitfield Bank & Trust, Dalton Charles Y. Allgood, 706/226-1500 |
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