Sandy Spring Bancorp, Inc. (SASR): Business Model Canvas [Dec-2025 Updated]

You're looking at the final blueprint of Sandy Spring Bancorp, Inc. (SASR) right before it became part of Atlantic Union Bankshares on April 1, 2025. Honestly, dissecting this pre-deal model is key to understanding the value exchanged-it was a community-focused player with $14.1 billion in assets and a solid $11.5 billion loan book as of late 2024. We need to see how their relationship-driven model, built on over 50 branches and $79.3 million in non-interest income from wealth management fees, stacked up against the costs of running a regional bank before that big change. Dive in below to see the nine blocks that defined their strategy.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Key Partnerships

You're looking at the relationships Sandy Spring Bancorp, Inc. (SASR) relied on, especially as the company finalized its integration with Atlantic Union Bankshares Corporation in 2025. These partnerships are crucial for funding, risk sharing, and operations.

The most significant partnership event in 2025 was the completion of the merger, which fundamentally changed the entity structure. The transaction, valued at approximately $1.3 billion, closed on April 1, 2025.

The strategic reduction in FHLB advances by $300 million reflected a 47% decrease in borrowings at one point. This was alongside a repayment of $300 million from the Federal Reserve Bank's Bank Term Funding Program.

For operational backbone and risk management, the following relationships were in place, though specific 2025 expense data is less granular post-merger:

• Third-party providers for outsourced data processing and core banking systems: Post-merger, the combined entity continues to use Atlantic Union Bank's operating systems. Sandy Spring Bancorp reported 2024 revenue of $497.0 million.
• Correspondent banks for treasury and cash management services: These provided unsecured lines of credit as a liquidity source, as noted in the 2024 filings.
• Loan participation partners for credit risk management: As of December 31, 2018, Sandy Spring had $54.0 million in commercial/CRE loan participations purchased from other lenders.

The Q1 2025 results for Sandy Spring Bancorp, prior to full integration, showed total assets of $13,765,535 thousand (or $13.77 billion) and total deposits of $11,322,359 thousand (or $11.32 billion) as of March 31, 2025.

Finance: draft post-merger liquidity projection by end of Q3 2025.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Key Activities

You're looking at the final operational snapshot of Sandy Spring Bancorp, Inc. before its full integration into Atlantic Union Bankshares Corporation, which wrapped up in October 2025. The key activities were centered on core banking, fee-based services, and managing the transition out of existence as a standalone entity.

Commercial and residential loan origination and servicing remained central. The loan portfolio activity involved growth in specific areas despite segment declines. Total loans were reported at $11.5 billion in late 2024. Growth was seen in the Acquisition, Development, and Construction (AD&C) loans and commercial business loans and lines, while the commercial investor real estate segment saw a decline. The company also managed credit risk by selling and purchasing loan participations, with $\mathbf{\$186.7 \text{ million}}$ in commercial and commercial real estate loan participations sold and $\mathbf{\$322.4 \text{ million}}$ purchased as of December 31, 2024.

Deposit gathering and liability management focused on funding costs. Deposits were a key resource, reaching $11.7 billion as of December 31, 2024, showing a 7% increase from the prior year, driven by a notable rise in interest-bearing deposits, especially in savings and money market accounts. The bank was actively managing its liabilities, having repaid $\mathbf{\$300 \text{ million}}$ borrowed under the Federal Reserve Bank's Bank Term Funding Program and reducing advances from the FHLB by $\mathbf{\$300 \text{ million}}$ by year-end 2024.

Wealth management, trust, and financial planning services provided a growing non-interest income component. This activity was conducted through subsidiaries like Rembert Pendleton Jackson (RPJ) and West Financial Services. The overall trust and wealth management segment saw total assets under management increase to $6.6 billion at December 31, 2024. Non-interest Income for the full year 2024 was $79.3 million, which was an 18% increase from 2023, largely due to higher wealth management income reflecting market performance.

Here's a quick look at the financial health metrics that underpinned these activities:

Managing regulatory compliance and capital adequacy was a constant focus, especially given the pending transaction. The company maintained a strong capital position relative to regulatory minimums. The Common Equity Tier 1 (CET1) risk-based capital ratio stood at 11.36%, and the total risk-based capital ratio was 15.38% at the end of 2024, both exceeding the 'well-capitalized' thresholds.

Post-merger integration planning with Atlantic Union Bankshares was a critical, time-bound activity. The corporate merger closed on April 1, 2025, and the operational integration of Sandy Spring Bank branches and systems into Atlantic Union Bank was announced as successfully completed in October 2025. Key activities leading up to this included:

• Shareholder and bank regulatory approvals secured by February 2025.
• Development of a detailed merger integration playbook.
• Execution of data conversion and systems integration post-closing.
• Adjustments to executive compensation arrangements related to the merger in late 2024.

This final integration step unified the bank across Virginia, Maryland, North Carolina, and Washington D.C.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Key Resources

You're looking at the core assets that Sandy Spring Bancorp, Inc. relies on to execute its business plan, especially as it navigates the expected closing of its merger with Atlantic Union Bankshares Corporation by the end of the third quarter of 2025. These are the tangible and intangible items that make the value proposition possible.

The foundation of Sandy Spring Bancorp, Inc.'s operational capacity rests on its balance sheet strength and its physical footprint. As of the end of 2024, the institution maintained a strong capital base and liquidity position, with Total assets reported at $14.1 billion at December 31, 2024. This financial underpinning supports its lending and investment activities across the Mid-Atlantic.

The physical presence is significant for a community bank. Sandy Spring Bancorp, Inc. operates a network of over 50 branch locations, strategically placed throughout central Maryland, Northern Virginia, and Washington D.C. This physical network is complemented by the human capital driving specialized services.

The expertise within the teams is a critical, non-physical resource. Sandy Spring Bancorp, Inc. fields experienced commercial lending and wealth management teams. These teams operate through subsidiaries like Rembert Pendleton Jackson and West Financial Services, Inc., which provide comprehensive investment management services. Furthermore, the organization's scale is reflected in its workforce; as of March 31, 2025, the bank reported 1,103 Number of Employees.

A stable funding source is paramount for any bank, and Sandy Spring Bancorp, Inc. benefits from a deeply rooted core deposit base. This base stood at $11.7 billion as of December 31, 2024, representing the stable, non-brokered funding that fuels lending operations. The stability of this funding is a key differentiator.

Finally, the operational backbone includes technology. The bank relies on its proprietary technology and digital banking platforms to serve customers efficiently, a necessity for competing in the Greater Washington D.C. region market. This digital infrastructure supports the delivery of commercial, retail, mortgage, private banking, and trust services.

Here's a quick look at the key financial metrics underpinning these resources as reported near the end of the 2024 fiscal year:

The structure of the wealth management component is supported by these specialized entities:

• Rembert Pendleton Jackson
• West Financial Services, Inc.

The capital strength is further detailed by regulatory ratios reported at the end of 2024:

• Tangible Common Equity to Tangible Assets Ratio: 8.84%
• Total Risk-Based Capital Ratio: 15.38%
• Tier 1 Leverage Ratio: 9.39%

Finance: draft 13-week cash view by Friday.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Value Propositions

You're looking at the core reasons clients chose Sandy Spring Bancorp, Inc. before the April 2025 acquisition by Atlantic Union Bankshares Corporation. These value propositions centered on deep local presence, tailored service, and specialized lending, all backed by solid capital.

Comprehensive financial services for businesses and individuals in the D.C. metro area

Sandy Spring Bancorp, Inc. provided a full spectrum of banking services across a defined, economically robust geographic footprint. This wasn't a national bank; it was focused on Maryland, Northern Virginia, and Washington D.C. The bank offered commercial and retail banking, mortgage lending, private banking, and trust services. You could see their commitment in their physical presence, operating across over 50 locations in the region.

Personalized, relationship-focused community banking model

The bank's heritage, starting in 1868, informed its approach-it was a community bank dedicated to personalized customer service. This relationship focus was a key differentiator against larger, more distant institutions. They offered checking and savings accounts, personal loans, and credit cards for individuals, alongside treasury management services for businesses.

Full-service wealth management and trust administration via subsidiaries

Sandy Spring Bancorp, Inc. went beyond basic deposit-taking by offering comprehensive wealth services through subsidiaries. West Financial Services, Inc., for example, provided investment management and financial planning to individuals, families, and small businesses. The planned combination with Atlantic Union was set to significantly expand this offering, aiming to double the wealth business by increasing assets under management by more than $6.5 billion. For context, the subsidiary West Financial had approximately $1.5 billion in assets under management as of December 31, 2018.

Expertise in commercial real estate and construction lending

A core competency was specialized lending to the commercial sector. Their loan products explicitly included commercial real estate loans, commercial construction loans, and general commercial business loans. This focus supported the growth of businesses within their primary D.C. metro market. As of the end of 2024, total loans stood at $11.5 billion. The planned merger even included a strategic move to sell up to $2 billion of Sandy Spring commercial real estate loans to manage regulatory ratios post-closing.

Stability and well-capitalized status before the merger

A major value proposition, especially leading up to the acquisition, was the bank's strong balance sheet. You could see this in their capital ratios, which were well above the regulatory minimums for being considered 'well-capitalized'. The bank actively managed its borrowings, repaying $300 million under the Bank Term Funding Program and reducing Federal Home Loan Bank advances by $300 million. Here's a snapshot of that stability using the latest available figures:

The bank's focus on managing its loan mix was also a value driver, actively reducing concentrations in commercial investor real estate while increasing commercial Acquisition, Development, and Construction (AD&C) and business loans.

The bank offered insurance products too, through Sandy Spring Insurance Corporation, including annuities as an alternative to traditional deposits.

• Geographic Focus: Maryland, Virginia, and Washington D.C..
• Loan Portfolio Growth: Total loans increased by 2% to $11.5 billion in 2024.
• Deposit Base: Deposits grew by 7% to $11.7 billion as of December 31, 2024.
• Non-interest Income: Grew by 18% in 2024, driven by wealth management.

Finance: draft pro-forma capital impact analysis for the combined entity by next Wednesday.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Customer Relationships

You're looking at the customer relationship strategy for the franchise that was Sandy Spring Bancorp, Inc. (SASR) as of late 2025. Honestly, the key context here is the April 1, 2025, acquisition by Atlantic Union Bankshares Corporation. So, the relationship model you see is now integrated, but the DNA of the personalized, community-focused service remains central to the inherited operations in Maryland, Virginia, and D.C.

Dedicated relationship managers for commercial and private banking clients

The model relies heavily on assigning specific personnel to high-value clients. This is about continuity and deep understanding of business cycles and personal financial goals. While specific headcounts for relationship managers aren't public for the inherited segment, the structure supports the commercial loan portfolio, which stood at $11.5 billion as of December 31, 2024, for Sandy Spring Bancorp.

High-touch, personalized service model at branch locations

The commitment to a high-touch model is evident in the physical footprint inherited. Prior to the merger, Sandy Spring Bank operated 53 branches and six financial centers across its core markets. This physical presence is designed to facilitate face-to-face interactions, which is the bedrock of personalized service in community banking. The core systems conversion for the combined entity is scheduled for October 2025, which is when full integration of service platforms will be finalized, aiming to maintain this local feel while scaling.

The scale of the inherited physical network is important:

Automated self-service via online and mobile banking platforms

To complement the high-touch service, robust digital tools are necessary. While specific SASR digital adoption rates for late 2025 aren't available, the industry trend shows this is non-negotiable. As of 2025, over 83% of U.S. adults use digital banking services. The expectation is that customers use these tools for routine tasks, freeing up relationship managers for complex advisory work. The combined entity projects total deposits of $31-$32 billion for 2025, a significant portion of which is managed digitally.

• Mobile app preference for core services is high, with 72% of global banking customers preferring them.
• Digital transaction volume growth year-over-year in 2025 reached 21.5%.
• The focus is on speed and convenience for daily banking activities.

Community engagement to foster local loyalty and trust

Loyalty in this region is built on local commitment. The merger announcement included a significant commitment to the combined footprint. This is a direct investment in the relationship fabric of the communities served.

• The combined entity announced a $9.5 billion Community Impact Plan.
• This plan aims to strengthen economic growth and financial access throughout the expanded footprint.

Advisory-based approach for wealth management and financial planning

The wealth management segment, bolstered by Sandy Spring's subsidiaries like West Financial Services, Inc., is a key relationship driver. The merger was explicitly intended to scale this area significantly.

The strategic goal post-merger was to double the wealth business, increasing Assets Under Management (AUM) by more than $6.5 billion. This growth directly translates to more clients seeking advisory services for investment management, financial planning, and trust services. For context, the inherited Sandy Spring Bancorp reported Non-interest Income of $79.3 million for 2024, driven in part by these wealth management services.

Finance: draft pro-forma AUM reconciliation report by end of Q4 2025.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Channels

You're looking at the channels Sandy Spring Bancorp, Inc. used to reach customers right before its April 1, 2025, merger with Atlantic Union Bankshares Corporation. Honestly, for a bank that was acquired, the last reported operational numbers are what we have to work with for late 2025 context.

The physical footprint was a key channel, centered around the Greater Washington, D.C. region, covering Maryland, Virginia, and D.C. The bank maintained a significant presence through its physical locations, which were the primary touchpoint for many commercial and retail clients.

The wealth management arm, which included West Financial Services, Inc., was a growing revenue contributor through fees. For the fourth quarter of 2024, Non-interest Income reached $79.3 million, an 18% increase from the prior year, driven by higher wealth management income. While older data from March 31, 2019, showed total assets under management at $3.1 billion for the investment management subsidiary, the growth in non-interest income suggests this channel was expanding its reach.

The direct sales channel, using commercial and retail loan officers, was critical for originating the loan portfolio, which stood at $11.5 billion as of December 31, 2024. These officers served as the human interface for complex commercial relationships, complementing the more transactional nature of the branch network.

You should note the digital adoption, while a core channel, doesn't have specific user counts in the latest filings, but the bank offered these services across its entire footprint in Maryland, Virginia, and Washington, D.C..

• Physical branch network size as of September 30, 2024: 53 locations.
• Wealth management income contributed to Q4 2024 Non-interest Income of $79.3 million.
• The bank offered a broad range of services through its locations throughout Maryland, Virginia, and Washington, D.C..

Finance: draft pro-forma channel integration plan for post-merger entity by next Tuesday.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Customer Segments

You're looking at the customer base of Sandy Spring Bancorp, Inc. right as it was integrating into a larger regional franchise following its April 1, 2025, acquisition by Atlantic Union Bankshares Corporation. The segments reflect the core franchise built up to that point.

Small to mid-sized businesses (SMBs) in the Mid-Atlantic region formed a key lending segment. These clients were served through commercial business loans, commercial construction loans, and commercial real estate loans, which are part of the total loan book. As of December 31, 2024, Sandy Spring Bancorp, Inc. reported total loans of $11.5 billion. The commercial loan portfolio was diversified across these SMB clients.

Commercial real estate investors and developers were a specific focus within the commercial lending group. The bank had been actively managing concentration in this area; for example, total commercial loans declined by 2% during the year ending December 31, 2023, due to a $146.5 million reduction in commercial real estate segments. Post-merger, there were plans to sell up to $2 billion of Sandy Spring commercial real estate loans.

Affluent individuals and families needing wealth and trust services were served through subsidiaries like West Financial Services, Inc. This segment focused on comprehensive investment management and financial planning. While total assets under management by trust and wealth management declined to $5.3 billion at December 31, 2022, the projected impact of the merger suggested doubling this business, increasing assets under management by more than $6.5 billion for the combined entity.

Retail customers in central Maryland, northern Virginia, and D.C. represented the core deposit and consumer banking base. This footprint served the Washington metropolitan area, historically an economically strong region. Total deposits for Sandy Spring Bancorp, Inc. stood at $11.7 billion as of December 31, 2024. The bank maintained a network of over 50 community offices across these areas.

Professionals and executives requiring private banking services were targeted with tailored financial solutions. This group overlaps with affluent individuals but specifically seeks the higher-touch, personalized service model the bank emphasized.

Here's a quick look at the scale of the balance sheet supporting these segments as of late 2024:

The services provided to these segments included:

• Personal services like checking and debit cards.
• Commercial loans, including commercial real estate and construction.
• Mortgage lending and residential real estate loans.
• Investment management and financial planning.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Cost Structure

You're looking at the expense side of Sandy Spring Bancorp, Inc. (SASR) operations for late 2024, which is where the rubber meets the road for profitability, especially given the merger activity. The cost structure is heavily influenced by running a regional bank and the one-time hits from the Atlantic Union Bankshares Corporation merger announced in late 2024.

The overall non-interest expense for Sandy Spring Bancorp, Inc. in Fiscal Year 2024 hit a high of $343.3 million. This represented a significant jump, a 25% increase compared to 2023's non-interest expense of $275.1 million. Honestly, you can't look at that number without peeling back the layers; it included a non-cash goodwill impairment charge of $54.4 million, plus $4.2 million in merger and acquisition expense related to the pending transaction. Excluding those specific items, the underlying non-interest expense growth was closer to 7% over the prior year.

Personnel costs remain a core, fixed component. As of December 31, 2024, Sandy Spring Bancorp, Inc. supported 1,151 total employees, split between 1,120 full-time and 31 part-time staff. While the total salaries and benefits line item decreased by $0.3 million year-over-year, when you adjust for the prior year's pension settlement and severance costs, the underlying salaries and benefits expense actually rose by $9.8 million, or 7%, mainly driven by higher incentive and stock compensation expenses.

The cost of funding-interest expense-is a key variable cost that directly pressures Net Interest Income (NII). For FY 2024, the total interest expense was $345.15 million, up from $282.97 million in FY 2023. This increase in funding costs is what drove NII down 8% to $327.1 million for the year, as the cost of deposits repriced faster than asset yields declined.

Here's a quick breakdown of the major cost drivers for FY 2024 compared to FY 2023:

Technology and operational support costs are also climbing. Outside data services costs specifically saw an increase of 13%, which management tied to a higher volume of transactions processed through the online banking platform. Furthermore, the FDIC insurance expense rose by 21% due to changes in the company-specific risk measure values used for assessment rate determination. Amortization of intangible assets also jumped by 75% as more licensed software assets were put into use.

The cost associated with potential credit deterioration, the Provision for Loan Losses, was recorded as a provision of $14.19 million for the full year 2024. This contrasts sharply with the prior year, which recorded a credit to the provision of $-17.56 million. This shift reflects the economic uncertainty noted in the required outline and the resulting increase in the Allowance for Credit Losses (ACL) to 1.16% of total loans.

You should keep an eye on these specific operational costs:

• Personnel Costs: Salaries and benefits increased by $9.8 million (7%) year-over-year on an adjusted basis.
• Data Services: Outside data services costs rose 13% due to online banking volume.
• Regulatory Costs: FDIC insurance expense increased by 21%.
• M&A Costs: $4.2 million incurred in 2024 related to the merger.

Finance: draft 13-week cash view by Friday.

Sandy Spring Bancorp, Inc. (SASR) - Canvas Business Model: Revenue Streams

For Sandy Spring Bancorp, Inc., the revenue streams are fundamentally anchored in traditional banking activities, though the business model has been recently impacted by the April 1, 2025, acquisition by Atlantic Union Bankshares Corporation. You should look at the final reported 2024 figures as the baseline before the full integration effects, and then consider the post-merger guidance for the near-term outlook.

The primary source of revenue remains the spread between what Sandy Spring Bancorp, Inc. earned on its assets and what it paid for its liabilities. For the fiscal year ended December 31, 2024, the Net Interest Income from loans and securities was reported at $327.13 million. This figure was a decrease of about 7.74% year-over-year from FY 2023, reflecting the pressure from higher funding costs in that period.

Non-interest Income showed resilience, increasing by 18.24% year-over-year for FY 2024, reaching $79.32 million. This growth was explicitly driven by wealth management and Bank-Owned Life Insurance (BOLI) income. The components of this non-interest revenue are detailed below, though exact figures for service charges and treasury management fees are often grouped within the broader segment reporting.

Here's a look at the key components of the FY 2024 revenue streams in millions of USD:

You are looking for the specific breakdown of the remaining non-interest income, which includes service charges and BOLI income. Based on the available data, here is what we can confirm about the revenue sources:

• Net Interest Income from loans and securities (FY 2024): $327.1 million.
• Non-interest Income from wealth management and trust fees (FY 2024 Total Trust Income): $42.07 million.
• Mortgage banking income (loan sales and servicing) (FY 2024): $5.62 million.
• The total Non-interest Income for FY 2024 was $79.3 million (rounded from $79.32 million).

For the post-merger entity, the forward-looking guidance for the full fiscal year 2025 projected a significant step-up in the core interest-earning component, reflecting the scale of Atlantic Union Bankshares Corporation. The guidance indicated a projected Net Interest Income for FY 2025 in the range of $1.15 billion to $1.25 billion. This suggests that the primary revenue engine is expected to be substantially larger following the April 1, 2025, transaction.

The non-interest income streams, which include fees from wealth management and trust services, are critical for fee-based revenue stability. In Q2 2024, wealth management income accounted for approximately 54% of the bank's total non-interest income. Furthermore, income from Bank-Owned Life Insurance (BOLI), which saw a boost in Q4 2024 from mortality proceeds, remains a consistent, albeit smaller, contributor to the non-interest revenue base. You should expect Service charges on deposit accounts and treasury management fees to be reported together or within a broader 'Other' category in the combined entity's statements, as specific annual figures for these items alone were not explicitly itemized in the latest available annual reports.