Fed Approves Bank Merger
ORLANDO, Fla. (AP) _ A plan to merge Sun Banks Inc. and the Trust Co. of Georgia into a regional facility known as SunTrust Banks Inc. has been approved by the Federal Reserve Board, both companies announced Wednesday.
The Fed approved the merger on Tuesday, more than three months after the banks’ board of directors voted for the plan, officials said.
The merger is expected to be completed on July 1, according to Ted Rybicki, a spokesman for Sun Banks.
At the end of 1984, Sun Banks had assets of $9.4 billion while Trust Co., which is based in Atlanta, has assets of $6.2 billion.
Sun Banks reported net income for 1984 of $64.9 million, or $2.94 per share, while Trust Co. reported a net income for 1984 of $89.2 million, or $3.67 per share.
″This combination has significant, positive implications for the economies of Florida and Georgia,″ said a statement released by Robert Strickland, chief executive officer of Trust Co., and Joel R. Wells Jr., chief executive officer of Sun Banks.
Rybicki said Sun Banks and Trust Co. would continue to operate separately, but as wholly owned subsidiaries of SunTrust. Stickland will serve as chief executive officer of the new company, while Wells will become president, he said.
Under the agreement, an equal number of shares of SunTrust would be issued to stockholders of Trust Co. and Sun Banks.