MBT Bancorp in Monroe, Mich., is planning to close four branches.

The $1.3 billion-asset company said in a press release Tuesday that it will shutter locations in the Michigan towns of South Monroe, Dundee East and Bedford during the first quarter. MBT also said it would stop offering retail services at a corporate office in Wyandotte, Mich., though the office would continue to house operations for lending, wealth management, senior leadership and support staff.

The company also said in a regulatory filing that it had already reduced its work force by 35 full-time positions.

The branch closures and layoffs are expected to save MBT $1.7 million annually and improve its return on assets by 9 basis points. The company said it would incur about $435,000 in costs tied to those efforts during the fourth quarter.

MBT noted in its release that customer usage of mobile banking apps has increased by 50% in the last year. The company will still have 20 branches after the closures.

"Our growth and profitability have been improving," Douglas Chaffin, the company's president and chief executive, said in the release. "However, it's important that we make the necessary changes in order for us to adapt in an industry where clients' needs and behaviors continue also to adapt to today's environment."

MBT could also pursue acquisitions, Chaffin said, adding that management is "not currently in talks with other institutions."

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