EXHIBIT 99.1
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Ambanc Holding Co., Inc. Seeks to Acquire Cohoes Bancorp, Inc.
AMSTERDAM, N.Y.-June 26, 2000--Ambanc Holding Co., Inc. (Nasdaq: AHCI), the
parent company of Mohawk Community Bank, Amsterdam, New York, today announced
that on June 23, 2000 it delivered a non-binding proposal to Cohoes Bancorp,
Inc. to initiate merger discussions. Under Ambanc's proposal, each share of
Cohoes common stock would be exchanged for $15.25 in cash. Ambanc has stated its
willingness, however, to discuss a combination of cash and stock with Cohoes on
a negotiated basis. The Ambanc proposal expires on June 30, 2000 and is subject
to, among other conditions, due diligence procedures and the execution of a
definitive agreement between the parties.
Cohoes entered into a merger agreement on April 25, 2000 under which it would be
acquired by Hudson River Bancorp, Inc., with each share of Cohoes common stock
being exchanged for 1.185 shares of Hudson River common stock. Based on the
closing price of Hudson River common stock on June 23, 2000, stockholders of
Cohoes would receive $12.30 per share in Hudson River common stock .
John M. Lisicki, President and Chief Executive Officer of Ambanc, stated: "We
feel we can provide the Cohoes stockholders a better option. Our proposal
constitutes a significant premium over the consideration Cohoes stockholders
would receive from Hudson River. Specifically, our proposal would enable Cohoes
stockholders to realize approximately a 24% premium over the consideration they
would receive from Hudson River, based on the closing price of Hudson River
common stock on June 23, 2000. Based on Cohoes public rejection of our proposal,
we do not believe the Cohoes Board of Directors seriously considered our
proposal, even though we offered Cohoes stockholders a significant premium over
what Hudson River agreed to pay."
Mr. Lisicki further stated that Ambanc expects that if it were to acquire
Cohoes, the transaction would be accretive to Ambanc's earnings during the first
year. He emphasized the unanimous belief of Ambanc's board of directors that a
merger of Ambanc and Cohoes would be a strategic combination that would have a
positive effect on the value of Ambanc's franchise and enhance long term value
for its stockholders.
Ambanc Holding Co., Inc. is a unitary savings and loan holding company. The
Company's primary subsidiary, Mohawk Community Bank, serves customers through
seventeen upstate New York offices, located in Fulton, Montgomery, Schenectady,
Saratoga, Albany, Otsego, Chenango and Schoharie counties. The Bank's deposits
are insured up to the maximum legal amount by the Federal Deposit Insurance
Corporation (FDIC). Ambanc's common stock is traded on the NASDAQ National
Market, under the symbol "AHCI".
The foregoing material contains forward-looking statements concerning the
financial condition, results of operations and business of Ambanc following the
consummation of its proposed acquisition of Cohoes. We caution that such
statements are subject to a number of uncertainties and actual results could
differ materially and, therefore, readers should not place undue reliance on any
forward-looking statements. Ambanc does not undertake, and specifically
disclaims, any obligation to publicly release the results of any revisions that
may be made to any forward-looking statements to reflect the occurrence of
anticipated or unanticipated events or circumstances after the date of such
statements.
CONTACT: Ambanc Holding Co., Inc.
John M. Lisicki, President & CEO
(518) 842-7200
[email protected]
