FirstMerit buying Michigan bank for $912 million
WKSU: Akron-based FirstMerit Bank plans to buy Michigan-based Citizens Republic Bank in a deal valued at almost $1 billion. William Mahnic, associate professor of banking and finance, said consolidating operations is one way banks can increase profits as the federal government clamps down on credit-card fees. “If they can buy another bank, eliminate their fixed costs, do their processing through the original processing center, they can save a lot of money. And that falls to the bottom line.”