First Federal Savings Bank has signed a letter of intent to acquire Logan Savings and Loan Association.
Logan Savings, with $60 million in assets, was founded in 1913 and currently has full-service offices in Logan and Tremonton and a loan office in Brigham City.Gerald R. Christensen, chairman of First Federal, said the transaction will be handled as a supervisory conversion. First Federal will pay no premium for Logan Savings and will issue no new shares of common stock. The merger is subject to approvals by regulatory authorities and by directors of both companies.
Logan Savings Chairman H.J. Milligan said the merger ". . . will have a positive impact on our customers and our community through the many new services we will now be able to offer."
Christensen agreed, saying the acquisition will have a positive impact on First Federal's earnings. He noted that Cache and Box Elder counties, which Logan Savings serves, "are experiencing significant growth and economic development in which we want to participate."
He said the acquisition also fits with First Federal's plan to increase assets and earnings by acquisitions in the Intermountain Area.
First Federal is a $300 million, federally chartered savings bank founded in 1920. From its Salt Lake headquarters, it operates six offices in Salt Lake County and one in Price.