MATTOON, IL — First Mid Bancshares, Inc. today announced plans to optimize its branch network as part of its ongoing efforts to accommodate changing customer behaviors and improve operating efficiencies. During 2021, and subject to applicable regulatory requirements, the Company plans to close and consolidate 10 of its 63 full-service branches throughout its footprint. One of the closures is planned pursuant to the pending acquisition of LINCO Bancshares, Inc. and another location will be converted to a loan production office.
“Our customers’ preferences have accelerated towards digital banking and we can consolidate these lower usage branches into our other locations in close proximity, while still providing the community bank experience our customers expect,” said Joe Dively, Chairman and Chief Executive Officer.
This will not affect the Mt. Vernon branch nor it’s customers. Community Bank President Michele Maher commented that in fact the consolidation of these branches will only bolster the service provided to each community that First Mid serves. The plans will create a larger footprint for the banks across Illinois and in all other states they serve.
In connection with the plan, the Company anticipates approximately $2 million in non-recurring costs during 2021, assuming no gain or loss on the owned facilities. The Company estimates annual cost savings of approximately $1 million with the first full year benefit in 2022.