Sun National Bank, a subsidiary of Sun Bancorp, is planning to realign branch offices within its footprint by consolidating nine of its branches into nearby locations.
The bank will also sell one branch office in Hammonton to Cape Bank for a premium on deposits of 4% to be calculated at closing.
The Hammonton branch has approximately $34.1m in deposits and about $4.9m in local branch loans.
The consolidation of the nine locations and the Hammonton branch sale to Cape Bank will result in an annualized pre-tax cost savings of about $4.6m with the bank anticipating a gross gain $1.4m on the sale.
Sun Bancorp president and CEO Thomas O’Brien said: "Consolidating branches is never an easy decision. However, as customers’ channel preferences have evolved and costs have risen, it presents the opportunity to further maximize efficiencies within our branch network.
"The result will be branch locations with greater average deposit bases and an overall more efficient cost model. Additionally, our Hammonton customers will be well-served by the team at Cape Bank."