Move is part of a general cost-reduction effort that will eventually include staff reductions
WAYNE -- Valley National Bank is shutting 15 more of its branches, bringing the total number of closings announced this year to 28 of its more than 200 locations, NorthJersey.com reported Wednesday.
The banks are being closed in response to historically low interest rates and other factors that have cut into the profitability of lending, a move coming as the Wayne-based company announced a 30 percent increase in earnings for the third quarter.
The bank did not indicate all the branches to be closed, but previously has shut branches in Wayne, Little Falls, Edgewater and Ho-Ho-Kus. A company spokesman said the closures will include branches that have another location nearby in order to keep customer inconvenience to a minimum.
The reduction in branches is part of an effort to reign in costs. The closings alone are expected to slash expenses by $10 million, with another $5 to $8 million in savings over the next two years through unspecified staff reductions. Those who lose their jobs will be given preference for other open positions with the company, the spokesman also said.
Paul Milo may be reached at pmilo@njadvancemedia.com. Follow him on Twitter @PaulMilo2. FindNJ.com on Facebook
