First Interstate Bank of Utah announced a reorganization of its operations that includes closing of four branch offices and termination of 67 employees.
The bank termed the action "a new market focus" designed to cut costs and "strengthen the bank for the more competitive environment of the 1990s."First Interstate spokesman Doug Jewett said the North Ogden, Midvale, Carriage Square and Centennial Park branches will be closed Oct. 1. He said the affected employees have been notified as have customers whose accounts will be moved to the next closest branch in the area or a branch of the customer's choice.
Jewett said several fees have been waived for customers whose accounts will be moved and that terminated employees have been offered severance pay and help in finding new jobs. He said the closures affect 4 percent of First Interstate's Utah deposit base.
"While the bank is consolidating some areas," said Jewett, "it is expanding in the faster growing population areas and currently has new branch applications pending in Orem and Holladay."
He said First Interstate is also exploring the possibility of installing additional off-site automatic teller machines on the Wasatch Front along with possible expansion into other "key economic areas" in Utah in the early 1990s.
First Interstate of Utah is an affiliate of Los Angeles-based First Interstate Bancorp.