The closures, which will take place in December, also include one business office of the bank
Northwest Bancshares to optimise branch network. (Credit: Adam Radosavljevic from Pixabay.)
Northwest Bancshares, the holding company of Northwest Bank, has announced plans to close 42 of its full-service branches.
The bank’s branch network optimisation is aimed at accommodating changing customer behaviors and gaining operating efficiencies.
Under its reorganisation plan, the company will close a fifth of its 205 full-service offices, which will represent around 20% across its footprint.
The closures, which will also include a free-standing drive-through and a business office, will be implemented between 14 – 18 December 2020.
Northwest Bancshares chairman president and CEO Ronald J Seiffert “Our customers’ banking preferences continue to evolve to favor a more digital banking experience and the Covid-19 pandemic has magnified and accelerated these preferences.
“This branch optimization plan reflects our ongoing efforts to ensure we are well positioned in our industry to provide the community bank experience that is valued by our customer base while also enhancing our strong digital and mobile banking presence.”
Northwest Bank expects around $12m in pre-tax costs
As part of branch optimisation plan, the company is expected to see around $12m in pre-tax costs which would be recognised during the second half of 2020.
The company estimates around $13m reduction in annual pre-tax operating expenses, starting from 2021.
Established in 1896, Northwest Bank is a Pennsylvania-based financial institution offering a complete line of business and personal banking products, employee benefits, wealth management services, along with the fulfillment of business and personal insurance needs.
The company has eight free standing drive-through facilities in Pennsylvania, New York, Ohio and Indiana.
Seiffert added: “We are confident in the abilities of our dedicated employees to continue to provide our loyal customers and communities the award-winning services they deserve.”