2005 Idaho Code - 26-1604 — MERGER APPROVAL

                                  TITLE  26
                              BANKS AND BANKING
                                  CHAPTER 16
                        IDAHO INTERSTATE BRANCHING ACT
    26-1604.  MERGER APPROVAL. (1) A bank whose home state is a state other
than Idaho may acquire control of, acquire all or substantially all of the
assets of, or merge with a bank whose home state is Idaho. Except as
authorized in this chapter or section 26-311, Idaho Code, no bank, the home
state of which is a state other than Idaho, may establish or maintain an
office in this state, or conduct the business of banking in this state.
    (2)  A bank whose home state is Idaho may not enter into any transaction
the result of which would be the acquisition of a branch or branches of the
bank with an out-of-state bank without the acquisition of all or substantially
all of the assets of the preexisting Idaho bank; provided that, in the event
that a bank is required by the federal government to divest one (1) or more
branches in connection with an interstate transaction, such branches may be
sold to financial institutions located in Idaho subject to the approval of the
director.
    (3)  A bank whose home state is Idaho may acquire control of, acquire all
or substantially all of the assets of, or merge with a bank whose home state
is a state other than Idaho. A bank with a home state other than Idaho shall
apply to and receive the approval of the director prior to any acquisition
transaction which, if approved, would result in a bank,  the home state of
which is Idaho, becoming a branch or branches of the out-of-state bank. The
director may accept copies of applications for such transactions made to other
state or federal bank supervisory agencies. Without the prior approval of the
director pursuant to this chapter, any merger transaction between a bank
chartered by or located in this state and any out-of-state bank is unlawful.
    (4)  Banks chartered by this state and national banks, the main offices of
which are located in this state, may establish or maintain branch banks in
other states only in accordance with this chapter.
    (5)  A bank, the home state of which is Idaho, shall apply to and receive
the approval of the director prior to any merger transaction which, if
approved, would result in one (1) or more banks chartered by or located in one
(1) or more other states becoming branches of a bank whose home state is
Idaho.