Bank merger finalized

Published 11:47 pm Friday, October 16, 2009

First Bankshares, Inc., parent company of Suffolk First Bank, and Xenith Corporation announced Friday that their shareholders had approved the merger of Xenith Corporation with First Bankshares. Following the merger, the combined company will operate as a one-bank holding company under the name Xenith Bankshares, Inc.

First Bankshares shareholders approved the merger at First Bankshares’ reconvened 2009 Annual Meeting of Shareholders and Xenith Corporation shareholders approved the merger at Xenith Corporation’s reconvened Special Meeting of Shareholders, both held on Oct. 15.

“Shareholder approval of this transaction represents a significant step forward and a significant opportunity for First Bankshares, SuffolkFirst Bank and our shareholders, customers and employees,” Darrell Swanigan, president and CEO of First Bankshares and Suffolk First Bank, said. “The addition of Xenith Corporation’s human and financial capital to First Bankshares’ existing strengths will assist us in reaching out to new markets in Virginia, while also enhancing our ability to serve larger segments within First Bankshares’ current footprint.”

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The Virginia State Corporation Commission has approved the merger. Pending receipt of final regulatory approvals from the Federal Reserve and satisfaction or waiver of other closing conditions, the merger is expected to close in November.

“Xenith is pleased to have this strong evidence of shareholder support for the pending merger. We believe that the combination of First Bankshares and Xenith Corporation represents a powerful combination of resources to effectively serve the Virginia banking market,” T. Gaylon Layfield, III, president and CEO of Xenith Corporation. Strong capital, experienced bankers focused on building customer relationships, and local decision making is what the market demands. We believe Xenith will be well positioned to meet that demand.”