Beacon Financial Corporation · NYSE:BBT
Beacon Financial — Berkshire Hills Bancorp — Merger or Acquisition (July 2013)
10 slides from Beacon Financial's merger presentation, Jul 25, 2013
Slide 1: Branch Acquisition
Branch Acquisition July 24, 2013
Slide 2: Forward Looking Statements
Forward Looking Statements This document contains certain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These statements include statements about anticipated financial results. Forward-looking statements can be identified by the fact that they do not
Slide 3: Acquisition Summary
Acquisition Summary • 20 full service branches in Central and Eastern NY • Total deposits: $640mm* • Deposit premium: 2.25% • Immediate EPS accretion • TBV earnback: 4-5 years • Expected closing: 1Q14** • Seller: Bank of America 2 *Deposit balances as of Feb 2013 **Transaction subject to regulatory
Slide 4: Transaction Highlights
Transaction Highlights Strategically Compelling •Strengthens presence in Greater Capital Region •Fills in footprint along I-90 corridor •Increases market share in Central NY from 5% to 8% •Increases deposit funding for total franchise •Improves access and convenience for existing and new customers •
Slide 5: Strategy
Strategy Growth through investing in people and infrastructure, maintaining discipline and driving profitability • Branches connect our franchise from Western MA to Syracuse and solidify our presence in New York • Our philosophy of offering big bank products with community bank service makes us well
Slide 6: Combined Franchise
Combined Franchise Note: Source SNL Financial 5 • Strong footprint stretching across New England and into New York • 94 branches • Deposit Market Share Position . Leading regional bank across our footprint • Represents BHLB Branches/Loan Offices • Represents BofA Branches
Slide 7: Deposit Composition
Deposit Composition 6 CDs $ 106; 17% Demand $160; 25% NOW $106; 17% Savings $47; 7% MMDA $193; 30% IRAs $28; 4% • 90% retail and 10% small business deposits • Cost of deposits: 17 bps . Lowers BHLB’s cost of deposits • 2.25% deposit premium (below recent national branch deals) • Expect low single di
Slide 8: Financial Summary
Financial Summary 7 . Transaction: 20 branches; $640 million deposits; $5 million loans; 2.25% deposit premium . Transaction Costs: $5 million, after-tax . CDI equal to 1% of core deposits amortized over 8 years on a sum-of-the-years’ digits basis . Tangible Book Value Dilution: ~$0.85 per share; 4-
Slide 9: Comparable Transactions
Comparable Transactions 8 *Analysis includes precedent nationwide branch acquisitions since January 1, 2011, with deposits transferred between $200mm and $1bn and disclosed deposit premiums at announcement, excluding People’s United/RBS supermarket branch deal. Source: SNL Compared to precedent nati
Slide 10: Branch List
Branch List 9 • Amsterdam - Sanford Farms • Cairo • Chatham • Glens Falls • Greenville • Hudson • Ilion • Johnstown • Little Falls • New Hartford • New Lebanon • Queensbury • Rome – Mohawk Acres • Rome – W. Dominick St. • Utica – 50 Auert Ave. • Utica – 1100 Mohawk St. • Utica – Genesee St. • Utica
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