United Bank, which merged earlier this year with Rockville Bank, said Monday afternoon it would close an East Windsor branch and four in Massachusetts to counter what it expects will be continued pressure from low interest rates in the coming year.
The Glastonbury-based bank said it will lay off managers and staff from those branches, but did not disclose how many.
CEO William Crawford said he expects continued pressure on the bank’s spread income in 2015, as the result of continued low interest rates.
The closure of the branch at 123 Main St. in the Broad Brook section of East Windsor and the branches in the Massachusetts communities of Northampton, Northborough, and Whitinsville, and the related staff reduction, will cost the bank $5.5 million before tax this quarter.
United said it expects ongoing savings of $3 million, much of it starting next year.
The consolidation comes in addition to four previous branch closures in October.
The closures require regulatory approval and would not happen before spring, the bank said.
Officer shakeup
United also announced that Chief Risk Officer Scott C. Bechtle, who lives in Glastonbury, will leave his position effective immediately.
Crawford hired Bechtle in 2011 to establish and oversee the bank’s risk department.
“In just three short years, Scott achieved what we recruited him to do,” Crawford said.
Succeeding Bechtle is Elizabeth “Betsy” Kenney Wynnick, who is currently executive vice president and director of internal audit.
Prior to joining United two years ago, she worked for NewAlliance Bank, which was acquired by First Niagara Bank in 2010, for nearly seven years. She also spent a decade at Webster Financial Corp.
Wynnick is licensed to practice law in Connecticut and is a certified public accountant.
Chris Molinari, deputy director of internal audit, will succeed Wynnick and has been promoted to senior vice president.
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