By John Borrelli
Bank will "continue to be engaged" in local activities
Now that Citigroup, owner of Citibank, has announced its purchase of EAB, some are wondering if EAB-sponsored scholarships and local events are in jeopardy. EAB employees are wondering if the purchase will mean layoffs. Local merchants are concerned about the potential for vacant buildings and how that might affect their business districts.
Citicorp announced that it will convert most of the 42 EAB locations in Nassau to Citibank branches. Where there is overlap, some EAB locations may be closed. Currently, both EAB and Citibank have branches in Rockville Centre and Long Beach. Both banks also operate ATMs at supermarkets in Oceanside. In the Five Towns, EAB has two branches in Inwood and one in Cedarhurst; Citibank has a Hewlett branch and an ATM in Woodmere.
Locally, EAB houses a branch office on Bedford Avenue and sponsors Bellmore's annual Family Street Festival, which attracts more than 100,000 visitors annually.
Citigroup also announced that there will be some layoffs, mostly in areas such as data processing, but EAB employees may be able to move to other positions within Citigroup.
Though he gave no specifics, Mark Rodgers, vice president of Marketing Administration at Citigroup, said, "EAB was very involved in the community, and we will continue to be very engaged in the community with our activities."
EAB 's Lynbrook sponsorships include a college scholarship program, which four Lynbrook High School students received in 2000, a Chamber of Commerce festival and Field Day at Greis Park in the fall.
William Gaylor, president of the Lynbrook Chamber of Commerce, hadn't spoken to anyone at Citigroup, but said, "It is my understanding that they want to keep their involvement in the community. I have no reason to believe that will change."
Gaylor, owner of Lyn Gift Shop, and Lyn House of Flowers, believes that businesses must "give back to the community. It's our responsibility to see that programs are successful." In the case of Citigroup, he said, "This is their rightful responsibility as a major corporate player on Long Island."
One of Nassau County's biggest events is the EAB-sponsored Bellmore Street Festival, a three-day affair. Robin Karp, consulting executive director of the Bellmore Chamber of Commerce, serves as the event's coordinator. Though she has not spoken to anyone at Citigroup, she was optimistic that Citibank would continue EAB's longstanding commitment to the event. "EAB has been incredibly supportive for the past 11 consecutive years. We look forward to a similar level of commitment on the part of Citibank," she said.
EAB also sponsors events run by the Five Towns Community Chest, including an annual golf tournament and the Five Towns Community Chest Fair. Bill Henry, a board member for the Chest, said he is not sure what the fallout will be from the changeover, but expressed hope that Citigroup will maintain the same level of commitment. "We don't know how we will be affected, but we will sit down and see if they can maintain their sponsorship of these events," Henry said.
According to Harry Levitt, member of the Lynbrook Chamber of Commerce, EAB employees at the Lynbrook branch will be keeping their jobs. "As far as I know, " he said, " they're keeping everybody at this branch. I was in there the other day. Everyone was smiling."
Levitt, who owns Mur-lee's, was relieved that the branch was staying open. "I think it's great that it won't be an empty piece of property."
Citibank, the banking division of New York-based Citigroup, paid $1.95 billion for EAB, which is part of Dutch-owned ABN Amro, based in Amsterdam. Whereas EAB has 67 branches in Nassau and Suffolk counties, Citibank has only 27, with 96 of its units located in the five boroughs of New York City. Citigroup says that the acquisition will make Citibank Long Island's leading bank in deposits. The deal is due to be approved by federal regulators within six months.
