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Exhibit 99.1
Joseph F. Casey
Chief Financial Officer and Treasurer
(978) 749-2213
ANDOVER BANCORP, INC.
COMPLETES ACQUISITION OF
GLOUCESTER BANK AND TRUST COMPANY
This press release contains certain statements that are forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Andover Bancorp, Inc.'s actual results could differ materially from those
projected in the forward-looking statements as a result, among other factors, of
the risk factors set forth in its filings with the Securities and Exchange
Commission and of changes in general economic conditions, changes in interest
rates and changes in the assumptions used in making such forward-looking
statements.
Andover, Massachusetts, July 3, 2000. Andover Bancorp, Inc. ("Andover")
(NASDAQ:ANDB) (www.AndoverBank.com) announced that it has completed its
acquisition of GBT Bancorp, Inc. ("GBT"), the holding company for Gloucester
Bank and Trust Company. The merger agreement was approved recently by GBT
shareholders. The merger was announced in January and regulatory approvals were
received in June. Under the terms of the agreement, GBT shareholders may elect
to receive .7543 shares of Andover common stock for each outstanding share of
GBT common stock or cash of $20.50 per share, or a combination thereof to the
extent available.
"Our acquisition of GBT significantly enhances Andover's franchise in Essex
County, where we enjoy the third largest deposit market share. It will also
increase our commercial banking capabilities," said Gerald T. Mulligan,
President of Andover.
With the addition of GBT, Andover has more than $1.7 billion in assets. The
acquisition is expected to contribute positively to Andover's earnings per share
in 2001. Andover expects to account for the transaction under the purchase
accounting method.
Andover Bancorp, Inc. is the holding company parent of Andover Bank. Andover
Bank is a Massachusetts-chartered savings bank organized in 1834 and
headquartered in Andover, Massachusetts, approximately 25 miles north of
downtown Boston. Andover Bank operates 13 banking offices in Andover, Lawrence,
Methuen, North Andover and Tewksbury, Massachusetts, as well as Derry, Salem and
Londonderry, New Hampshire.
