Eastern also announced plans to open a new, full-service branch in the Auburndale section of Newton. Upon completion of the bank acquisition and the branch opening, Eastern will have two Newton branches and 53 locations across Greater Boston.

“These two moves illustrate our commitment to growth,” said Stanley J. Lukowski, Eastern’s chairman and chief executive officer. “Over the next few years, we are going to add branches west of Boston, where we have a limited presence, while also keeping an eye out for opportunities to fill holes in the North and South shore markets.”

Founded in 1997, Middlesex Bank & Trust Co. has one branch at 188 Needham St. in Newton Highlands. Middlesex Bank & Trust is a division of Westport National Bank, a nationally chartered commercial bank with its headquarters in Westport, Conn. The acquisition is expected to close in the first quarter of 2004, pending regulatory approval. Terms of the transaction were not disclosed.

Eastern will keep Middlesex Bank & Trust’s seven employees and will likely be increasing the number of staff at that location as it adds new consumer and commercial banking products to those already offered at the branch.

Eastern’s new Auburndale location is planned for 2060 Commonwealth Ave. It is now home to an office of Eastern Insurance, which is moving to a new location in Auburndale. The new branch also needs regulatory approval.

“The Newton market is particularly attractive, given its high concentration of residents, businesses and not-for-profit organizations,” said Richard E. Holbrook, Eastern’s president. “By opening two locations at virtually the same time, we can focus promotions in Newton, hopefully building upon the success of the Middlesex Bank & Trust office and aggressively attracting customers to our new Auburndale location.”

Earlier this year, Eastern adopted a branch expansion program, with the goal of opening up to 20 new locations over the next five years. In the first eight months of the program, Eastern has opened new branches in East Boston, Sharon, South Weymouth and Dedham.

“The new locations underscore Eastern’s commitment to convenience, superior service and accessibility to our specialists who can help customers find the right financial product,” Holbrook said. “Of our 51 locations, 11 are open seven days a week.”

Based in Boston, Eastern Bank is the largest independent, mutually owned commercial bank in New England. With $4.6 billion in assets and 51 branches in Greater Boston, Eastern offers a full range of financial products for consumers, businesses, investors, government agencies and non-profit organizations. Its wholly owned subsidiaries are Eastern Insurance, one of New England’s largest insurers, and Fantini & Gorga/iCap Realty Advisors, a real estate advisory firm.

For more information, contact: Joe Bartolotta, Public Relations Director, Eastern Bank,
(781) 596-4411, or e-mail Joe Bartolotta.