The state's largest bank said it plans to open two new First Fed branches, covert its Lanai First Fed into a Bank of Hawaii and close three neighbor island thrift branches.
Accounts at the three neighbor island First Fed branches will be transfered to nearby Bank of Hawaii branches.
Ron Schmid, executive vice president at Bank of Hawaii, said the company plans to open a new First Fed branch at the Maui Marketplace in Kahului and in Windward Oahu.
He declined to identify the prospective location of the Windward Oahu branch, saying it hasn't been finalized. The new Maui outlet will open in mid-1997. Last year, First Fed opened a site in the Salt Lake area, Schmid said.
The moves comes as Bank of Hawaii has filed an application with the Federal Deposit Insurance Corp. to transfer customer accounts at First Fed branches in Kailua-Kona, Lahaina and Lihue branches to nearby Bank of Hawaii offices. The company also applied for FDIC approval to convert its Lanai First Fed branch into a Bank of Hawaii branch.
Schmid said customers will see little impact from the moves. He declined to estimate how many accounts would be transfered.
Schmid said the moves are part of company wide strategy to review its markets.
First Fed currently operates 25 branches statewide. Bank of Hawaii operates 67 branches statewide and 11 grocery store branches.
"We feel that the First Fed name is strong and customers value its services," Schmid said.