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EXHIBIT 99.1
[FIFTH THIRD BANK LOGO]
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News Release
CONTACT: FIFTH THIRD BANCORP FOR IMMEDIATE RELEASE
Neal E. Arnold (Analysts) 513/579-4356 APRIL 2, 2001
Roberta R. Jennings (Media) 513/579-4153
Peggy Janei (Media) 616/771-5257
FIFTH THIRD, OLD KENT COMPLETE MERGER
MOVE INTRODUCES DOMINANT MIDWESTERN FIFTH THIRD BANKING FRANCHISE TO
NEW MICHIGAN & ILLINOIS MARKETS
FIFTH THIRD BANCORP (NASDAQ: FITB) and OLD KENT FINANCIAL CORPORATION
(NYSE: OK) announced today that they have completed their merger. The combined
company, which will operate as Fifth Third Bancorp, will have approximately $70
billion in assets, $48 billion in deposits, $195 billion in custody assets and a
market capitalization of $30 billion. For the year ended December 31, 2000, on a
pro forma basis, the combined company generated $3.7 billion in operating
revenue, $1.1 billion in net income and $2.10 in operating earnings per share.
As a result of this merger, Fifth Third will be ranked fourth in the
state of Michigan with a nine percent market share, and sixth in Chicago with
approximately $5.5 billion in deposits. Fifth Third will have 974 full-service
Banking Centers, including 148 Bank Mart(R) locations open seven days a week and
1,930 Jeanie(R) Automated Teller Machines throughout Ohio, Michigan, Illinois,
Kentucky, Indiana, Florida and Arizona.
Fifth Third will exchange, on a tax-free basis, 0.74 shares of its
common stock for each share of Old Kent common stock. Based upon Fifth Third's
March 30, 2001 closing price of $53.44, the transaction, which is accounted for
as a pooling of interests, is valued at approximately $5.5 billion.
George A. Schaefer, Jr., President & CEO, Fifth Third Bancorp, reports,
"With the addition of Old Kent, we have achieved our goal of entering the
attractive deposit markets of Michigan and Illinois. We welcome one million new
customers from Old Kent, and are now poised to deliver banking and investment
products and services to 16 million people in this region."
He continues, "Fifth Third has proven its ability to assimilate
acquisitions successfully - without sacrificing quality earnings growth. Our
management teams are in place and are working very hard to ensure a seamless
conversion. David Wagner will join Fifth Third Bancorp's Board of Directors in
June and will serve as Chairman of our Michigan bank. Two Fifth Third leaders,
Brad Stamper and Pat Fehring, will serve as President & CEO of our banks in
Chicago and Detroit, respectively. Two Old Kent leaders, Kevin Kabat and John
Pelizzari, have been appointed President & CEO of our banks in Western Michigan
and Northern Michigan, respectively."
Old Kent Financial Corporation Chairman, President & CEO David J.
Wagner remarks, "We are combining two superior performing banks with contiguous
and similar Midwest markets, and will realize immediate earnings per share
accretion. Additionally, Fifth Third has already introduced several new
initiatives to our marketplace, and our consumer and business customers are
enjoying a wider range of deposit, lending, corporate treasury management and
merchant processing services. In fact, we have opened two and a half times as
many checking accounts over the same period last year."
He adds, "Fifth Third's decentralized decision making empowers local
Fifth Third bankers to find the best way to produce double-digit earnings growth
and invest capital in the communities where we operate. It's a winning
strategy."
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EXHIBIT 99.1
Old Kent locations, accounts and ATMs will convert to Fifth Third over
a six-month period, beginning in late April. A Welcome To Fifth Third video with
a message from each affiliate President as well as an informational booklet
about Fifth Third's products and services will be sent to each Old Kent customer
prior to the conversion.
Fifth Third will report first quarter 2001 earnings, excluding the
effect of Old Kent, on April 16, 2001 prior to the market opening. Pooled
results including Old Kent will be reported beginning in the second quarter.
Fifth Third recently issued pro forma condensed income statements for the
combined activities of Fifth Third and Old Kent for the year ended December 31,
2000 as well as the quarterly results of 2000.
Fifth Third Bancorp is a diversified financial services company
headquartered in Cincinnati, Ohio. The Company has $70 billion in assets,
operates 17 affiliates with 974 full-service Banking Centers, including 148 Bank
Mart(R) locations open seven days a week inside select grocery stores and 1,930
Jeanie(R) ATMs in Ohio, Kentucky, Indiana, Florida, Arizona, Michigan and
Illinois. A leader in e-commerce, Fifth Third was named #1 e-business innovator
by PC Week. The financial strength of Fifth Third's affiliate banks continues to
be recognized by rating agencies with deposit ratings of AA- and Aa2 from
Standard & Poor's and Moody's, respectively. Additionally, Fifth Third Bancorp
continues to maintain the highest short-term ratings available at A-1+ and
Prime-1, and was recently recognized by Moody's with one of the highest senior
debt ratings for any U.S. bank holding company of Aa3. Fifth Third operates four
main businesses: Retail, Commercial, Investment Advisors and Midwest Payment
Systems, the Bank's data processing subsidiary. Investor information and press
releases can be viewed at www.53.com; press releases are also available by fax
at no charge by calling 800-758-5804, identification number 281775. The
Company's common stock is traded in the over-the-counter market through The
Nasdaq National Market under the symbol "FITB."
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This document contains or may contain forward-looking statements about Fifth
Third Bancorp which we believe are within the meaning of the Private Securities
Litigation Reform Act of 1995. This document contains certain forward-looking
statements with respect to the financial condition, results of operations,
plans, objectives, future performance and business of Fifth Third including
statements preceded by, followed by or that include the words "believes,"
"expects," "anticipates," or similar expressions. These forward-looking
statements involve certain risks and uncertainties. There are a number of
important factors that could cause future results to differ materially from
historical performance and these forward-looking statements. Factors that might
cause a difference include, but are not limited to: (1) competitive pressure
among depository institutions increase significantly; (2) changes in the
interest rate environment reduce interest margins; (3) prepayment speeds, loan
sales volumes, charge-offs and loan loss provisions; (4) general economic
conditions, either natural or in the states in which Fifth Third does business,
are less favorable than expected; (5) legislative or regulatory changes
adversely affect the businesses in which Fifth Third is engaged; and (6) changes
in the securities markets. Further information on other factors which could
affect the financial results of Fifth Third after the merger are included in
Fifth Third's filings with the Securities and Exchange Commission. These
documents are available free of charge at the Commission's website at
http://www.sec.gov from Fifth Third Bancorp.
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