In a recent move by the Spokane-based AmericanWest Bank, Sunrise Bank of San Diego will join the larger AmericanWest. The newly formed bank will now have branches in Washington, Idaho, Utah, and California. The acquisition still requires approval by banking regulators and the respective banks' shareholders, but according to The Desert Sun, the acquisition is expected to become final in the third quarter.

So, what happens to Sunrise Bank's customers? What benefit do they get from this acquisition? After the merger is approved, the customers will be able to draw upon greater capital and can take out up to $24 million in commercial loans. An AmericanWest spokesperson was quick to note, however, that the majority of loans will remain in the $50,000 to $10 million range. The Sunrise Bank chief economic officer also reported the merger will bring new services, products, and technology to customers.

Sunrise Bank officials reported that the merger brings together two banks specializing in small-business and commercial banking. One of the major differences, however, are the banks' respective assets. While Sunrise Bank had approximately $232 million in assets prior to the merger, AmericanWest had $1.6 billion. Similarly, AmericanWest's $1.4 billion in deposits far outweighed Sunrise Bank's $212 million.

While this will reportedly be AmericanWest's first time in California, the AmericanWest chairman is a long-time California banker. In fact, the chairman has worked within the California banking scene for over 20 years.

AmericanWest is also looking to expand its reach within its hometown. In May, AmericanWest agreed to buy Bank of the Northwest in the Puget Sound region. According to reports, the Bank of the Northwest deal is expected to cost $17 million.

Source: The Desert Sun, "Sunrise Bank acquired in merger," Mike Perrault, 9 June 2011