UPDATE 1-Keycorp, First Niagara to sell 18 branches in New York

WASHINGTON, April 28 (Reuters) - Cleveland-based KeyCorp and First Niagara Financial Group Inc will sell 18 First Niagara branches in and around Buffalo, New York, to resolve antitrust concerns tied to KeyCorp's planned acquisition of First Niagara, the U.S. Justice Department said on Thursday.