The Justice Department announced today its withdrawal from the 1995 Bank Merger Guidelines, emphasizing that the 2023 Merger Guidelines remain its sole and authoritative statement across all industries.
The department also released commentary explaining the application of the 2023 Merger Guidelines in banking. This commentary identifies competition issues that may commonly occur in bank mergers and outlines which guidelines best inform analysis of those issues. As with the 2023 Merger Guidelines, this commentary offers transparency into the department’s merger review process but does not create rights or obligations for any party under the laws governing mergers of banks and bank holding companies.
The announcement was the result of a collaborative consultative process with close partners at the Federal Reserve, Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency. It was also informed by robust public feedback, departmental experience and expertise, as well as developments in market law and economics.
Neither the 2024 Banking Addendum nor the 2023 Merger Guidelines predetermine enforcement action by the department. Although these guidelines identify factors and frameworks considered when investigating mergers, enforcement decisions will depend on case-specific facts and will continue to require prosecutorial discretion and judgment.
Throughout any bank merger review, the Justice Department works closely with relevant bank regulators to ensure complementary and consistent application of laws within each agency’s area of expertise. These agencies may use their own methods for screening and evaluating bank mergers at their discretion.