United, Camden National announce plans to merge> Official says separate names, boards to be retained

United Bank of Bangor will merge with Camden National Corp., owner of Camden National Bank.

Bruce D. Bartlett, president of United, says the merger will allow the Bangor bank to make much larger loans and acquire new technology that is needed to remain competitive with larger banks.

Under terms of the agreement, United and Camden National Bank will continue to operate as community banks, with each bank retaining its current name. The banks also will keep their management staffs and boards of directors. The organizations will continue to focus on the community bank philosophy, which emphasizes local management and local investment of resources.

Bartlett said there would be no change in employment levels at the two banks. According to Bartlett, United has grown so fast that it has had trouble maintaining its capital base.

Merging with a larger bank will resolve this problem, he said. This will allow United to make larger loans. So far, United can’t make loans larger than $750,000. After the merger, Bartlett said, the bank could make loans as large as $5 million.

United Bank is a $58 million bank with branches in Bangor, Hampden, Hermon, Corinth and Jackman. Camden National, with assets of $400 million, is much larger. It has branches in Camden, Belfast, Rockland, Thomaston and Union.

The proposed transaction is subject to the approval of