Jim Dobbs

The Connecticut bank expects to report a $9.5 million net loss for the fourth quarter, but it said it's made headway in its efforts to cultivate investors and bolster its capital levels.

Deal advisors said the Trump administration's tariff threats and the specter of inflation have given some bankers reason to pause on acquisition plans. Momentum could still mount, but uncertainty in Washington is a detriment early in the new year.

Small lenders produced net interest margin expansion in the fourth quarter, thanks in large part to interest rate cuts in the second half of 2024. Festering inflation, however, threatens to lead to rate increases that could stall their momentum.

The superregional in Pittsburgh said banks large enough to attract its attention have yet to put themselves on the sale block. PNC's finance chief said, "We just have to be ready if and when those windows open."

Oil and gas companies are borrowing to invest in more drilling and new processing facilities to meet rising global needs for U.S. fossil fuels. Several banks said energy loan demand is expected to strengthen further this year.

Small lenders beset by the fallout from high interest rates took losses in the fourth quarter when they unloaded underperforming securities and loans. But they are reinvesting the proceeds into higher-yielding assets.

Small lenders across the country filled leadership positions, including The Peoples Savings Bank in Ohio, which promoted from within to name its first woman CEO.

The Reno, Nevada-based buyer said it would pay $64.6 million in cash and stock for Cornerstone Community Bancorp, and it expects to close the transaction in the second half of the year.

John Asbury, who is CEO of Atlantic Union Bankshares, said credit unions that compete head-to-head with for-profit banks should lose their tax-exempt status. He also called for bank regulation based on complexity rather than size.

The Virginia-based bank said the Federal Reserve signed off on its acquisition of Sandy Spring Bancorp in Maryland. The transaction was the third-largest bank deal announced in 2024. It could be finalized as soon as April.

Frontwave Credit Union said it would acquire Community Valley Bank in a deal that would expand its footprint in San Diego and nearby counties. It comes on the heels of a record year for CU-bank combinations.

The Indiana-based company grew fourth-quarter loans and profits in part because of an acquisition in Nashville, and it expects to bulk up further with a deal in Minnesota's Twin Cities that was among the largest announced in 2024.

The Alabama-based regional bank reported stronger earnings on a bump in capital markets fee revenue and lower expenses, but its total loans declined and its charge-offs increased. It expects only modest loan growth this year.

A midweek rally followed robust bottom-line results from JPMorgan Chase, Wells Fargo, Bank of America and several other large banks. But further interest rate cuts may be needed to sustain momentum.

Advisors predicted that more banks will do deals and those transactions will be larger in 2025 amid expectations for lighter regulatory scrutiny.

The bank said it would acquire Bank of Idaho for $245.4 million in stock. It marked the 12th bank deal for Glacier over the past decade.

Mutual Federal Bancorp nixed its planned acquisition of Pulaski Savings Bank. It did not disclose a reason for the deal termination.

Heightened expectations for increased economic activity could boost loan demand after a soft 2024.

Florida-based Amerant Bancorp recently restructured its securities portfolio after selling its Houston branches.

Lenders across the country promoted from within to fill top executive roles, including First International Bank & Trust in Watford City, North Dakota.