EFFINGHAM, Ill., Nov. 28, 2016 (GLOBE NEWSWIRE) -- Midland States Bancorp, Inc. (NASDAQ:MSBI) today announced a branch network optimization plan as part the Company’s Operational Excellence strategic initiative. As previously announced, Midland’s Operational Excellence initiative is designed to place greater corporate-wide focus on driving improvements in people, processes and technology, and generate further improvement in Midland’s operating efficiency and financial performance.
The branch network optimization plan will primarily consist of consolidating certain branches into other nearby locations, resulting in a total reduction of seven branches. Following the changes, the Bank will have a total of 39 branch locations.
All of the changes to the branch network are expected to be completed by March 1, 2017. As the Company previously announced, it expects its expense reductions in 2017 under the Operational Excellence initiative, including salaries and branch operating costs in connection with the branch network optimization plan, to approximately offset the 2017 revenue reduction that will result from the Company’s sale of its private label collateralized mortgage obligations earlier this quarter. The Company will incur charges for the write down of real estate and severance in the fourth quarter of 2016.
Leon J. Holschbach, President and CEO of Midland States Bancorp, said, “Consistent with industry-wide trends, we are seeing fewer visits to branches as more of our customers are choosing the convenience of online and mobile banking. The branch network optimization plan we have announced today will enable us to concentrate our branch personnel and services into the locations where they are most needed and enhance the overall efficiency of the organization. The proximity of nearby branches enables us to make these changes to the branch network while still providing our customers with convenient access to in-person banking services when they are needed.”
About Midland States Bancorp, Inc.
Midland States Bancorp, Inc. is a community-based financial holding company headquartered in Effingham, Illinois, and is the sole shareholder of Midland States Bank. Midland had assets of approximately $3.2 billion, and its Midland Wealth Management Group had assets under administration of approximately $1.2 billion as of September 30, 2016. Midland provides a full range of commercial and consumer banking products and services, merchant credit card services, trust and investment management, and insurance and financial planning services. In addition, commercial equipment leasing services are provided through Heartland Business Credit, and multi-family and healthcare facility FHA financing is provided through Love Funding, Midland's non-bank subsidiaries. Midland has more than 80 locations across the United States. For additional information, visit www.midlandsb.com or follow Midland on LinkedIn at https://www.linkedin.com/company/midland-states-bank.
Readers should note that in addition to the historical information contained herein, this press release includes "forward-looking statements," including but not limited to statements about the Company’s future growth and its Operational Excellence initiative. These statements are subject to many risks and uncertainties, including changes in interest rates and other general economic, business and political conditions, including changes in the financial markets; changes in business plans as circumstances warrant; and other risks detailed from time to time in filings made by the Company with the Securities and Exchange Commission. Readers should note that the forward-looking statements included in this press release are not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "will," "propose," "may," "plan," "seek," "expect," "intend," "estimate," "anticipate," "believe" or "continue," or similar terminology. Any forward-looking statements presented herein are made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.
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Midland States Bancorp, Inc.