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UNION PLANTERS AND JEFFERSON SAVINGS BANCORP, INC. REACH AGREEMENT
Memphis, Tenn.- September 20, 2000 -- Union Planters Corporation
(NYSE:UPC) and Jefferson Savings Bancorp, Inc. (Nasdaq:JSBA) of Ballwin,
Missouri, announced today that they have signed a definitive agreement
for the acquisition of Jefferson Savings by Union Planters. The
announcement was made by Jackson W. Moore, Chairman and Chief Executive
Officer of Union Planters Corporation and David V. McCay, Chairman and
Chief Executive Officer of Jefferson Savings Bancorp.
Under the terms of the agreement, shareholders of Jefferson Savings
Bancorp would receive .433 shares of UPC common stock in a tax-free
exchange for each share of Jefferson Savings common stock. The
transaction would be valued at approximately $140 million based on the
current value of Union Planters common stock. The transaction will be
accounted for as a tax-free purchase and is subject to approval by the
Jefferson Savings shareholders and regulatory authorities. The
acquisition is expected to be completed in the first quarter of 2001.
David McCay of Jefferson Savings Bancorp stated, "We are looking
forward to our association with Union Planters. They have a solid
reputation in the financial industry and have become one of the largest
and leading bank holding companies. Jefferson Savings will strengthen
their market position in the St. Louis area and enhance Union Planters'
opportunity in northeast Texas."
Jack Moore, who assumed the duties of Chairman and Chief Executive of
Union Planters following the sudden death of Benjamin W. Rawlins, Jr.,
said, "We are proud to have Jefferson Savings join the Union Planters
family and strengthen our franchise, particularly in the St. Louis
market and in our multi-state mortgage business. Both of our companies
demonstrate a belief in community banking and the value of maintaining
close relationships with our customers." Moore added, "This affiliation
was begun by Ben Rawlins before his death and it further reinforces the
strategy he initiated to expand in markets we currently serve."
Union Planters at its option may repurchase shares in the open market
from time to time up to the number of shares to be issued in this
transaction. Such repurchase would not affect the share repurchase plan
authorized in February this year by the Board of Directors.
Jefferson Savings Bancorp is the parent company of Jefferson Heritage
Bank, a federal savings bank. Jefferson Savings had deposits of $981
million as of June 30, 2000, with
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$526 million of the total in the St. Louis metro market and the balance
in Texas. The company also operates mortgage origination offices in
Missouri, Texas, Tennessee, Washington, Oregon, Colorado and Arizona.
Union Planters is one of the country's 30 largest bank holding companies
with total assets of approximately $34 billion and over 800 offices in
12 states. Union Planters offers banking, investment and insurance
services to over 2 million customers. The U.S. Small Business
Administration has named Union Planters one of the most "small business-
friendly" lenders in the country.
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Contacts:
Financial:
Bobby Doxey, Chief Financial Officer
Union Planters Corporation
(901) 580-4565
[email protected]
Media:
Tom Woodbery, Corporate Communications
Union Planters Corporation
(901) 580-6630
[email protected]
