(April 26 – 17:10 ET) – Bank of Montreal is selling 14 of its branches to credit unions in Manitoba, subject to regulatory approval. The agreement was coordinated through the
Manitoba Credit Union Central. The transaction will result in an aggregate pre-tax gain for Bank of Montreal of approximately $11 million, subject to closing adjustments.

The transaction involves nine credit unions, 14 bank branches and 69 bank employees. The branches have approximately $346 million in funds under administration.

The agreement was announced in Winnipeg this afternoon, after bank staff were informed. The credit unions involved are offering continued employment to bank employees. The transaction excludes certain products and services such as mutual funds and MasterCard credit card accounts.

“We are pleased that these transactions provide for both continued branch banking services and employment in these communities,” said Ed Allinott, vice- president, Manitoba Flagship, Bank of Montreal. After the transaction closes, Bank of Montreal will continue to operate 41 branches in Manitoba.
-IE Staff