Sun Bancorp Acquires Sentry Trust Co., One of First Trust Firms to Serve Credit Union Members

CHAMBERSBURG, Pa. – Sentry Trust Co., one of the first companies to offer trust services to credit union members, was acquired by Sun Bancorp Inc. on March 1. Launched in 1997, Sentry has $421 million in assets under management and 1,300 clients with 3,000 clients through its brokerage and insurance agency. Lewisburg, Pa.-based Sun Bancorp. has more than $1 billion in assets with 23 offices and 45 ATMs in six counties here. Sun Bancorp will retain all Sentry employees and their four branches, said Robert J. McCormack, Sun Bancorp president/CEO. The company will continue to operate under the Sentry Trust Company name, and Sun will integrate its current wealth management and retail investment departments into Sentry under the leadership of Sentry’s current president and CEO, Charles E. Nelson. As the only credit union and largest shareholder at the time when Sentry initially formed, Chambersburg, Pa.-based Patriot Federal Credit Union would eventually have to divest its 20% share because after Sentry acquired the trust departments at Fulton County National Bank in 1999 and First National Bank of Greencastle in 2001 here, NCUA’s “50 plus one” regulation kicked in, which requires CUSOs to serve a majority credit union member base, Nelson said. Patriot FCU has 45,000 members and $275 million in assets. “This expansion is a strategic fit that complements our customer relationship management philosophy and our ability to offer our customers the expertise to meet their needs and build long-term customer relationships,” McCormack said. Under the terms of the acquisition, Sun Bancorp reportedly paid $16.8 million in stock and cash for Sentry Trust, with at least 60% in the form of common stock. Launched in 1997, Sentry Trust provides wealth management, estate planning and settlement, employee benefit programs, and trust and brokerage services and was one of the first independent non-depository trust companies granted a charter by the Pennsylvania Department of Banking. Sun Bancorp focuses on a relationship-based approach which is built around identifying and anticipating customer needs, and providing the financial expertise, advice, products and services to help clients reach their dreams and manage life’s challenges, McCormack said. Sun Bancorp also operates Mid Penn Insurance Associates, Sun Investment Services, SunBank Dealer Center, Bank Capital Services and is 30% owner of Sun Abstract & Settlement Services. [email protected]