Peoples Federal MHC and Peoples Federal Savings Bank Announce Plan of Conversion and Reorganization
BRIGHTON, MASSACHUSETTS, February 23, 2010 – The Board of Directors of Peoples Federal MHC, Brighton, Massachusetts, the mutual holding company for Peoples Federal Savings Bank, today announced the adoption of a Plan of Conversion and Reorganization whereby Peoples Federal MHC will convert from mutual to stock form. A new corporation will be formed as the holding company for Peoples Federal Savings Bank and will offer for sale shares of common stock to depositors of Peoples Federal Savings Bank and others in a subscription and community offering.
Maurice H. Sullivan, Jr., Chairman of the Board and Chief Executive Officer, said that “After the conversion, our commitment to our customers will not change and they will continue to be served by the same staff and management with the same commitment to service excellence. All deposit and loan accounts will be unaffected and our operations will continue without interruption.”
Thomas J. Leetch, President and Chief Operating Officer, added “The additional capital we raise from the transaction will better position us to take advantage of growth opportunities in the future and make us an even stronger institution.”
The Plan establishes December 31, 2008 as the eligibility record date for determining the eligible depositors of Peoples Federal Savings Bank entitled to receive nontransferable subscription rights to purchase common stock. It is anticipated that the conversion will be completed in the third quarter of 2010.
Sandler O’Neill + Partners LP has been selected to act as conversion agent and Luse Gorman Pomerenk and Schick will serve as conversion counsel to Peoples Federal.
This press release is neither an offer to sell nor a solicitation of an offer to buy shares of common stock. The offer will be made only by a prospectus to be filed with the Securities and Exchange Commission. The shares of common stock will not be deposit accounts, and will not be insured by the Federal Deposit Insurance Corporation or any other government agency.
Peoples Federal Savings Bank is a mutual savings bank operating full-service offices in Allston, Brighton, Brookline, Jamaica Plain, Norwood, and West Roxbury. Established in 1888, the Bank is a member of the Federal Deposit Insurance Corporation (FDIC).
For more information, please contact us if you have any questions about our products or services. You can use our information request form, or give us a call at (617) 254-0707.