Press Release
10 February, 2004
On February 6, 2004, First Federal of Northern Michigan (the "Bank"), a
Federally chartered savings bank wholly owned by Alpena Bancshares, Inc.
("ABI"), a federally chartered holding company, signed a definitive Purchase and
Assumption Agreement ("Agreement") with North Country Bank and Trust, a Michigan
state-chartered bank, to acquire two of North Country Bank and Trust's branches
located at 0000 Xxxxx Xxxxxx, Xxxxxxx, Xxxxxxxx and 000 Xxxxx Xxxxxxxx Xxxxxx,
Xxxxxxxxx, Xxxxxxxx.
The transaction will include the assumption of approximately $13.0 million in
deposits and the purchase of approximately $17,000 in loans related to the two
branches.
The transaction, which is subject to regulatory approval, is expected to be
completed in the second quarter of 2004.
Xxxxxx X Xxxxxxx, President and Chief Executive Officer of First Federal of
Northern Michigan stated, "This transaction will contribute toward the growth of
our Bank and enable us to broaden our customer base. When this transaction is
complete, First Federal will have 10 full service branches serving Northern
Lower Michigan."
"First Federal of Northern Michigan has a reputation of being a community bank
that focuses on the needs of its customers," remarked Thomson. "This is an
exciting opportunity to provide our new customers the wide range of products and
services we offer, while also giving them the personalized attention of a
community bank." Xxxxxxx added "We look forward to welcoming these new
customers, communities and employees to our Bank."
First Federal of Northern Michigan currently operates 8 full service branches in
the North Eastern Lower Peninsula of Michigan. At December 31, 2003, First
Federal had assets of $224.6 million and $21.8 million of stockholders equity.
