04/17/2019 | Press release | Distributed by Public on 04/17/2019 07:04
Hamilton, Bermuda-17 April 2019: The Bank of N.T. Butterfield & Son Limited ('Butterfield' or 'the Bank') (NYSE: NTB/BSX: NTB BH) today announced that it has completed a multi-faceted streamlining initiative that reflects the changing banking environment and positions Butterfield for improved operating efficiency.
Under that initiative, headcount in the Bank's Channel Islands subsidiaries was recently reduced by 15 positions. This change was effected to right-size the organisation following the onboarding of clients and staff from the acquired Deutsche Bank banking and custody business in the Channel Islands. It reflects Butterfield's more automated back office environment, which allows for efficient transaction processing with fewer employees.
Reflecting Bermuda customers' changing banking preferences, which have resulted in a substantial reduction in the volume of in-branch transactions, Butterfield's Rosebank Banking Centre and Drive-Thru Teller Services in Hamilton have closed effective today.
Under the streamlining measures, 30 employees in Bermuda accepted voluntary early retirement packages, and 11 positions were made redundant across two departments. As retiring employees leave the Bank over the next several months, their responsibilities will be reallocated within existing operations locally and internationally to foster further improvements in operating efficiency.
Going forward, Rosebank customers wishing to conduct in-branch transactions are advised to visit one of Butterfield's three other Banking Centre locations: Reid Street (Hamilton), St. George's or Somerset. Walk-up and drive-thru ATMs will remain in place at Rosebank. Premium Banking services will relocate to the Reid Street Banking Centre effective Monday, 22 April. Safe Deposit customers may continue to access their lock boxes at Rosebank until 4:00 p.m. on Thursday, 18 April 2019, after which time they will be accessible at Butterfield's Reid Street Banking Centre (Ground Floor - Front Street Level).
Commenting on the Rosebank closure, Michael Neff, Managing Director - Bermuda, said 'Reflecting customers' preferences to increasingly conduct their banking transactions through electronic channels, we have seen in-branch volumes drop by over 50% during the last decade. There is no longer enough volume to justify the continued operation of two full-service Banking Centres in Hamilton, and we have therefore made the decision to discontinue in-person services at Rosebank.
'Later this year, Butterfield will begin renovations to its Head Office at 65 Reid Street in Hamilton, which will include improvement of all customer areas and the development of a modern, expanded banking hall on the Front Street level, designed to make customers' experiences more efficient and enjoyable.'
Michael Collins, Butterfield's Chairman and Chief Executive Officer, said 'Following the release of our 2018 earnings, we advised the market that we would be streamlining operations to take better advantage of our international footprint and improve expense management. These are key steps in that process.'
'While it is never easy to implement such changes, we are pleased that most of the headcount reduction in Bermuda was achieved through voluntary early retirements, and our employees are being well supported through this process. We are confident that these are the right changes to position Butterfield for continued growth and development as we seek to become the world's leading offshore bank and trust company.'
Butterfield is a full-service bank and wealth manager headquartered in Hamilton, Bermuda, providing services to clients from Bermuda, the Cayman Islands, Guernsey and Jersey, where our principal banking operations are located, and The Bahamas, Switzerland, Singapore and the United Kingdom, where we offer specialized financial services. Banking services comprise deposit, cash management and lending solutions for individual, business and institutional clients. Wealth management services are composed of trust, private banking, asset management and custody. In Bermuda, the Cayman Islands and Guernsey, we offer both banking and wealth management. In The Bahamas, Singapore and Switzerland, we offer select wealth management services. In the UK, we offer residential property lending. In Jersey, we offer select banking and wealth management services. Butterfield is publicly traded on the New York Stock Exchange (symbol: NTB) and the Bermuda Stock Exchange (symbol: NTB.BH). Further details on the Butterfield Group can be obtained from our website at: www.butterfieldgroup.com.