North Shore Bank, Saugusbank to join

Company executives say North Shore Bank and Saugusbank will continue to function as a community bank after the two institutions merge later this year.North Shore Bank and Saugusbank on Thursday announced they have entered into a merger agreement, which officials say they expected to complete by the fall.Customer accounts will continue to be insured in full through the Federal Deposit Insurance Corporation (FDIC) and the Share Insurance Fund of Massachusetts (SIF). As North Shore Bank, the combined institutions will continue to maintain co-operative bank status.As part of the agreement, North Shore President and CEO David J. LaFlamme will serve as chief executive officer of North Shore Bank and its parent North Shore Bancorp. Saugusbank President and CEO Kevin M. Tierney Sr. will assume the role of president and chief operating officer of both the bank and the bancorp.In a joint statement LaFlamme and Tierney said:?As a larger institution the bank will also be able to offer enhanced products and services, greater employment opportunities and expanded branch access. Because both banks have similar business approaches, compatible product lines and complementary corporate cultures, we anticipate that merging the two organizations will be a seamless transition.”Upon completion of the merger, North Shore Bank will grow to almost $700 million in assets and will operate out of 11 offices throughout the North Shore. All Saugusbank employees and directors will join the North Shore Bank team, and customers of both banks will continue to see the same employees at their local banking offices.LaFlamme said, “The merger agreement has been approved by both Boards of Directors – two groups who share the same commitment to exemplary customer service.”?Kevin Tierney and I will work with the existing management teams to bring together our two Banks – in the process creating long-term benefits for our customers, employees and the communities that we serve.”Tierney said, “The merger gives us the opportunity to expand and compete in a much broader market with enhanced lending capacity and technology. Joining an organization that shares our core values and customer-first orientation only makes the transaction more beneficial for our communities.”The merger is subject to approval by North Shore Bancorp corporators, Saugusbank depositors, the Federal Deposit Insurance Corporation (FDIC) and the Massachusetts Division of Banks. The merger is expected to be consummated in the third quarter of 2014.North Shore Bank, established in 1888, is based in Peabody and has eight branches in Beverly, Danvers, Middleton, Peabody and Salem. The bank also maintains an online banking presence at northshore-bank.com.Saugusbank, which is online at saugusbank.com, has three branches and a loan center in Saugus and more than $200 million in assets. Founded in 1911, the organization offers loans and accounts that serve Saugus and its surrounding communities.In addition to its chartered mission, the bank is also an active supporter of philanthropic ventures throughout the area.