| Washington Federal, Inc. (the “Company” or “Washington Federal”) and First Federal Banc of the Southwest, Inc. (“First Federal”) recently announced the signing of a definitive merger agreement. The merger agreement calls for the merger of First Federal with and into the Company, followed by the merger of First Federal into the Company’s wholly owned subsidiary, Washington Federal Savings. After the consummation of the merger, the Company will have 138 offices in eight western states with total assets of approximately $9.4 billion and total deposits of approximately $5.7 billion.
Under the terms of the merger agreement, shareholders of First Federal will receive $24.14 in cash for each share of First Federal common stock they own. The aggregate consideration to be paid in connection with the merger is $99.0 million for the shares of common stock and vested employee stock options outstanding immediately prior to the effective time of the merger. The merger is expected to close in the first calendar quarter of 2007, pending the receipt of all requisite regulatory approvals and the approval of First Federal’s shareholders. |
