In a meaningful move for community banking in Massachusetts, Cornerstone Bank and Athol Savings Bank (ASB) are coming together to form something even stronger. The two locally rooted institutions have announced a merger agreement that blends their shared values and deep commitment to customer-focused service. As part of the merger, ASB will join Cornerstone Bank but continue to operate under its familiar name, keeping all five of its current branch locations open. For customers, it’s a seamless transition that honors tradition while opening doors to new possibilities..
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This strategic merger will introduce Cornerstone’s modern digital banking tools and enhanced financial services to more communities, while honoring ASB’s legacy and strong community ties. For customers, that means the best of both worlds: continued personalized service from the people they trust, with improved access to technology, financial planning tools, and innovative products.
“This is an incredibly exciting time for us,” said Todd Tallman, CEO of Cornerstone Bank. “We’re not only growing—we’re joining forces with an institution that shares our values and commitment to mutuality. Together, we’ll be stronger, more efficient, and better equipped to serve our communities while continuing to provide the high level of service our customers deserve.”
Athol Savings Bank’s reputation for financial strength and exceptional customer service made the bank a natural partner. The merger represents a collaborative approach to growth, not downsizing. All ASB staff will be retained, and great care is being taken to ensure continuity of roles and relationships across the combined organization.
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Customers can look forward to the same friendly, familiar faces at their local branches, now backed by the additional resources and digital tools of a larger bank. This includes enhanced online and mobile banking experiences, expanded financial planning services, and a renewed focus on community investment across the North Quabbin region.
Leadership will evolve as well, with Daniel J. Zona, President and Chief Executive Officer of ASB, stepping into the role of President of Cornerstone Bank following the planned retirement of Cornerstone’s current President, Randal Webber. Zona will also join the expanded Cornerstone Bank Board of Directors, along with three other new board members, ensuring strong leadership representation from across the newly enlarged service area.
“I’m truly honored to help guide Cornerstone Bank into this exciting new chapter,” said Zona. “What makes this merger so special is that it’s rooted in shared values and a genuine commitment to the people we serve—our communities, our customers, and our dedicated employees. It’s about growing together, without losing the personal touch that makes local banking so important. Together, we’re better positioned to grow strategically and serve even more people—without ever losing sight of what makes local banking special.”
The merger is expected to be finalized in the first quarter of 2026, once it receives the necessary approvals from regulators and ASB’s corporators.Legal and financial advisory support for the transaction was provided by Luse Gorman, P.C. for Cornerstone Bank and Updike, Kelly & Spellacy, P.C. for ASB, with Piper, Sandler & Co. serving as financial advisor.
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This union brings together two longstanding community institutions ready to shape the future of regional banking—where technology and trust work hand-in-hand to support customers, employees, and the places they call home.
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