Beneficial Bancorp in Philadelphia is planning to eliminate 11% of its workforce over the next three months.
The $5.7 billion-asset company, which also announced Friday that it had completed its purchase of Conestoga Bank, said in a press release that the cuts were the result of a comprehensive review of its operating cost structure. Beneficial said it will record a $1.2 million pretax charge in the second quarter to cover expenses, such as severance packages and outplacement services, tied to the program.
Beneficial did not disclose how much it will save once the cuts have been made.
Beneficial agreed in October to buy the $712 million-asset Conestoga for $105 million in cash. The company said it will incur about $8 million in pretax charges during the second quarter tied to the acquisition.