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What Is The Effect Of A Merger On BOLI Plans?

April 26, 2017boli merger plans

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What Is The Effect Of A Merger On BOLI Plans?

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Merger and acquisition activity has no direct impact on the BOLI performance plan, per se. However, if you are an acquiring bank, the BOLI from the acquisition should be a beneficial addition to your existing portfolio. It will be reviewed in terms of concentration and credit for the newly merged entity. If you are an institution being acquired, BOLI is an attractive investment on your balance sheet and will enhance your net worth and earnings per share results.