Banking mergers continue to decline in number

Northwestern Financial Review, Mar 1, 2002

The number of announcements of banking merger agreements has dropped for the third year in a row. Last year, 284 bank and thrift merger deals were announced. This is down from 328 mergers in 2000, and 401 in 1999. As one might expect, the trend carries over to completed deals, according to SNL Securities, Charlottesville, Va., which reports 230 mergers last year compared with 278 in 2000, and 356 in 1999.

In 1998, the industry completed 504 deals. Many community bankers surveyed for the study say that after the merger fever of the mid-1990s, there are fewer desirable properties around, even though prices have declined.