TCF Financial (TCF) in Wayzata, Minn., plans to close 38 branches in Chicago and Minneapolis.
The $18.4 billion-asset company said in a regulatory filing Wednesday that it will shutter 37 branches inside Chicago-area Jewel-Osco stores and a branch in downtown Minneapolis. TCF expects to record a $7.6 million charge in the fourth quarter tied to the closures, which it expects to take place by March 31.
TCF also said it plans to add 52 new ATMs in Chicago "L" train stations. After the planned closures and the addition of the new ATMs, TCF will have 156 branches, including 118 inside Jewel-Osco stores, and 270 ATMs in Chicago.
TCF said it decided to make the changes after conducting a review of its branch network and its investment in online and mobile banking.
"We determined our customer base at [the branches to be closed] could be served by other nearby TCF locations, enabling us to redirect resources to fund our growth initiatives," Thomas Jasper, TCF Bank's vice chairman of funding, operations and finance, said in a press release. "We are working aggressively to minimize the impact of these changes on our customers and we expect to retain many of the employees impacted by the consolidations after March 2014."
Overall, TCF had 427 branches in eight states as of Sept. 30.