First Niagara Announces the Completion of its Acquisition of Greater Buffalo Savings...

First Niagara Announces the Completion of its Acquisition of Greater Buffalo
Savings Bank

LOCKPORT, N.Y., Feb. 15 /PRNewswire-FirstCall/ -- First Niagara Financial
Group, Inc. (Nasdaq: FNFG), announced today that it completed the acquisition
of Great Lakes Bancorp, Inc., the parent company of Greater Buffalo Savings
Bank. In connection with this transaction, Great Lakes shareholders will
receive 5.4 million shares of First Niagara common stock, as well as cash
payments totaling $75.8 million in the aggregate.
"On behalf of First Niagara, I want to welcome the customers and
shareholders of Greater Buffalo to the First Niagara family," stated President
and CEO, John R. Koelmel. "During the last few months employees of both
organizations have demonstrated their commitment, dedication and expertise by
making this transition as smooth as possible for everyone. I am very
confident that our new customers will experience the same level of outstanding
service that they were used to at Greater Buffalo but with the added benefit
of more options to meet their financial needs. This merger strengthens our
presence in Western New York, a region we have been highly committed to
serving for over 135 years."
Under the terms of the merger agreement, Great Lakes shareholders were
permitted to request cash, First Niagara stock or a combination of both for
their outstanding shares, subject to an overall limitation that not more than
50% of deal consideration would be paid in cash. Shareholder requests for cash
exceeded 50% of the overall deal consideration. On that basis, Great Lakes
shareholders who did not submit an election will receive 100% of their
consideration in First Niagara stock. Shareholders who requested any or all
of their consideration in First Niagara stock will receive that request.
Finally, shareholders who elected any or all of their consideration in cash
will receive approximately 43% of that request in the form of First Niagara
stock and the remainder in cash. Cash will be paid in lieu of all fractional
shares in the exchange.
At December 31, 2007, Great Lakes had assets of approximately $900 million
and deposits of $627 million. With the addition of Greater Buffalo's branch
offices, First Niagara now has approximately $9.0 billion in assets and
operates 117 branches and four Regional Market Centers across Upstate New
York.
First Niagara was advised by the investment banking firm of Stifel,
Nicolaus & Company, Inc. and the law firm of Luse, Gorman, Pomerenk & Schick,
P.C. Great Lakes was advised by the investment banking firm of Sandler
O'Neill & Partners, L.P. and the law firm of Hodgson Russ LLP.
SOURCE First Niagara Financial Group, Inc.

John R. Koelmel, President and Chief Executive Officer, or Michael W.
Harrington, Chief Financial Officer, or Anthony M. Alessi, Investor Relations
Manager, +1-716-625-7692, tony.alessi@fnfg.com, or Leslie G. Garrity, Public
Relations and Corporate Communications Manager, +1-716-625-7528,
leslie.garrity@fnfg.com, all of First Niagara Financial Group, Inc.