It happens, from time to time, when Major League Baseball teams trade veteran players and send a bundle of cash to make the deal feasible for the new team.
It’s not an every-day deal in the business world, but that’s exactly what Banner Corp, parent company of Banner Bank and Islanders Bank, said in announcing an agreement to acquire six Sterling Savings Bank branches.
Walla Walla, Wash-based Banner was an unsuccessful suitor last fall when it attempted to buy Home Federal bank, which ultimately paired with Bank of the Cascades.
Sterling is dealing five Coos County branches and one in Douglas County, with approximately $226 million in deposits and $95 million in loans, and $7 million cash to Banner.
The acquisition (nope, you can’t really call this a purchase) extends Banner’s presence in Oregon and gives it a 28 percent market share in Coos County market.
Two branches are in Coos Bay, along offices in Bandon, Coquille and North Bend.
With Umpqua Holdings nearing completion of takeover of Sterling Financial, the deal begins to make sense. Umpqua and Sterling branches are nextdoor neighbors along Highway 101 in Bandon — someone had to go.
The deal is subject to consummation of the Umpqua-Sterling union, expected to be completed in June.
Life is good at Lithia Motors, as in never been better.
The Medford auto retailer, whose holdings reach from Iowa to Hawaii, became a $4 billion firm in 2013 and netted $106 million. The per share earnings topped $4 last year — close to double what those shares cost to buy($2.25) on March 31, 2009 when the company and industry nosedived during the Great Recession
More recently Lithia shares have topped $70, although stock market volatility, a delicate American economy and global unrest provide plenty of headwind.
Lithia acquired seven stores during 2013 and the pace hasn’t slowed in 2014.
“We believe the acquisition market remains active and anticipate 2014 will be a productive year for Lithia to grow our network of stores,” CEO Bryan DeBoer said this morning.
Fourth quarter 2013 adjusted net income was $25.7 million, or 98 cents per share, up from $19.3 million, or 74 cents per share, for the final three months of 2012.