@Article{mfj:821,
title={What’s Happened at Divested Bank Offices? An Analysis of Antitrust Divestitures in Bank Mergers in the U.S.},
author={Steven Pilloff},
journal={Multinational Finance Journal},
volume={9},
number={1/2},
pages={43--71},
year=2005,
publisher={Multinational Finance Society; Global Business Publications},
url={http://www.mfsociety.org/../modules/modDashboard/uploadFiles/journals/MJ~774~p17548tgvlv47jd8v2g1hlu6q64.pdf}
keywords={divestiture; bank merger; antitrust policy and remedy; competition},
abstract={In their competitive analysis of proposed bank mergers, the Board of
Governors of the Federal Reserve System, the U.S. Department of Justice, and
other U.S. banking agencies accept branch divestitures as an antitrust remedy
in local markets where there is substantial overlap between the acquirer and
target. The results of this study, which examines the performance of 751
branches that were divested between June 1989 and June 1999 in conjunction
with a merger in the U.S. that raised possible competition issues, are consistent
with the policy of accepting branch divestitures as an antitrust remedy being
successful. Divested branches operate for lengths of time that are comparable
to all branches, and even though they experience substantial deposit runoff
around the time of the merger, divested branches subsequently exhibit deposit
growth rates that are comparable to those of other similar branches .},
}