Merger mania has descended on community banking throughout the United States. In the current rush to seek merger partners, many banks are unprepared for the task ahead.

There is only a vague awareness of the issues that will be faced, and very little understanding of how the process works or, more important, where the mistakes can be made that will condemn a merger proposal to failure. There are relatively few methods for completing a merger transaction, yet the opportunities to destroy a proposed merger are virtually unbounded. Fortunately, there are some techniques to avoid potential traps.

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