7/23/2021 – Adams Community Bank Deepens Its Commitment to Berkshire County
ADAMS, Mass – Adams Community Bank announced that its Board of Trustees has approved a plan to convert the Bank from a mutual savings bank to a capital stock savings bank, with a concurrent formation of a stock holding company and a mutual holding company. The mutual holding company, to be named Community Bancorp of the Berkshires, MHC, will own 100% of the stock holding company’s outstanding shares of common stock. The stock holding company, to be named Community Bancorp of the Berkshires, Inc., will own 100% of the Adams Community Bank’s outstanding shares of common stock. The bank wishes to be clear that this is NOT a public stock offering. While the bank will become a stock form organization, its mutuality will be preserved because 100% of the issued stock will be controlled by Community Bancorp of the Berkshires, MHC, a mutual entity. Following the reorganization, depositors will continue to be represented by the current members of the bank’s Board of Corporators who will become the Corporators of Community Bancorp of the Berkshires, MHC.
The proposed transaction and plan of reorganization was approved by the bank’s Corporators at the annual meeting held on April 14, 2021 and is currently awaiting regulatory approval. We expect final approval in the 4th quarter of 2021.
Adams Community Bank President Charles O’Brien commented, “Due to our significant growth in recent years, we are reorganizing to benefit from the mutual holding company banking model. We embrace mutuality on a long-term basis and plan to issue subordinated debt which will allow us to add to our capital and continue our pattern of strong growth. Our Trustees, Corporators, and staff value the strong level of trust we have established with our customers and the communities we serve, and these steps will serve to deepen our commitment to the Berkshires. We are thankful to our leadership team for voting to support our efforts for further growth within the Berkshires. Our plans include adding locations in Pittsfield and Great Barrington.” O’Brien added, “Our commitment to our local communities has never wavered since our founding in 1869, and we pride ourselves on being a trusted financial partner for a growing number of residents and businesses in the Berkshires. As we continue to grow in the coming years, we will expand our philanthropic support as well.”
After the reorganization, the bank will continue to operate as Adams Community Bank, be headquartered in Adams, Massachusetts, and normal business will be conducted without interruption at the bank’s offices prior to and after the reorganization. Lending and strategic decisions will continue to be made locally. The business of the bank and the existing level of insurance coverage of bank’s deposits by the Federal Deposit Insurance Corporation, an agency of the federal government, and the Depositors Insurance Fund, a private excess deposit insurance fund for Massachusetts savings and co-operative banks, will be uninterrupted by the reorganization.
Adams Community Bank is an independent community savings bank located in the Berkshires of western Massachusetts and headquartered in Adams, MA. Adams Community Bank’s savings bank charter was incorporated in 1869, and the institution has approximately $838 million in assets. Adams Community Bank has eight locations in the region. They are in Adams, Cheshire, Lanesboro, Lee, Lenox, North Adams, and Williamstown.
Member FDIC. Member DIF. Equal Housing Lender.
Visit adamscommunity.com for more information.