Washington

Umpqua Holdings in Portland, Ore., and Sterling Financial in Spokane, Wash., have set a $75 million penalty for terminating their planned merger.

The acquisition-minded Heritage Financial and Washington Banking are said to be seeking targets to nearly double their size, motivated in part by the recent Umpqua-Sterling deal.

Baker Boyer Bank in Walla Walla, Wash., has promoted its wealth management division manager to become president and chief investment officer.

Umpqua Holdings' agreement to buy Sterling Financial is the latest in a series of deals this year to pair similarly sized banks, creating a new crop of midsize financial institutions.

Umpqua Holdings (UMPQ) in Portland, Ore., has agreed to buy Sterling Financial (STSA) in Spokane, Wash.

Umpqua Holdings, Oregon's biggest bank, is in advanced talks to buy Sterling Financial, the lender backed by Warburg Pincus and Thomas H. Lee Partners, said people with knowledge of the discussions.

First Financial Northwest in Washington ousted a longtime CEO, while HopFed Bancorp in Kentucky seated an outsider on its board and canceled an acquisition, under pressure from activist shareholders. More banks can expect similar fights.

Independence Federal Savings Bank (IFSB) in Washington, D.C., is taking a second shot at buying Colombo Bancshares in Rockville, Md., three years after the companies called off plans to merge.

The Spokane, Wash., bank could not rename its two retail operations in California "Sterling" because of legal matters, so executives turned to their French-English dictionary for a unique substitute: "Argent."

The $902 million-asset company said Friday that it plans to shut down First Financial Diversified, which provides escrow services to First Financial and other customers.

Sterling Bank in Spokane, Wash. will allow customers to transfer money to and from accounts at other financial institutions for free.

HomeStreet in Seattle plans to buy two small Washington lenders for a total of $37.3 million.

Washington Federal (WAFD) in Seattle has agreed to buy 51 branches from Bank of America (BAC).

Carolina Premier Bank hopes its blend of Southern charm and robust technology (robotic bankers, anyone?) will be a hit with residents in the nation's capital.

Union Bank in San Francisco has created a new bank account designed for the underbanked.

BBVA Compass is ramping up efforts along the East Coast with plans to open loan-production offices in New York and Washington.

Bank regulators have lifted a memorandum of understanding against Timberland Bank nearly three years after the bank was hit with the enforcement action.

F.N.B. Corp. (FNB) in Hermitage, Pa., said late Monday it had agreed to buy Annapolis Bancorp (ANNB), which owns the Bank of Annapolis, for $51 million in stock.

First Financial Northwest in Renton, Wash., a $973 million-asset company, lost $791,000 in the third quarter, compared to net income of $1.4 million in the second quarter and profit of $623,000 a year earlier.

Sterling Financial in Spokane, Wash., said that two lawsuits filed over its bank's overdraft fees have been dismissed.