US Banker articles from April 2005

US Banker archives from April 2005

Editor's Note.
April 1, 2005... As of April 1st, nomination forms for U.S. Banker's annual ranking of "The 25 Most Powerful Women in Banking" can be downloaded from the magazine's Web site (www.us-banker.com). In addition, nomination forms to qualified candidates-individuals...

Lopez v. BofA: Bad Press Or Precedent Setting?: In the court of public opinion, perception is reality. The question for BofA: How does the bank resolve what's turning into a PR problem without opening Pandora's box?(Bank of America)
April 1, 2005... There are battles worth fighting and then there are wars worth winning. Bank of America-faced with a lawsuit from a Miami businessman alleging the bank failed to protect him from on-line banking risks-must decide that the latter is far more...

Wire Transfer Brouhaha: BofA Suit Sparks Debate In Banking Circles: 'Unauthorized' $90k EFT sent to Latvian bank.(Bank of America)(Electronic Funds Transfer)
April 1, 2005... A small-business owner's lawsuit against Bank of America over a $90,000-plus unauthorized wire transfer from his business account could prompt the banking industry to spend more for on-line security. But before that it may morph into a public...

Scene and Heard.(Brief Article)
April 1, 2005... "If you don't like change, you're going to like irrelevance even less." RAY DAVIS, CEO of Umpqua, recalling the words of a U.S. colonel, anecdotally, to bankers at a recent conference. "Frankly, it's going to make the market tougher...

FreshInk.(Tarpon Coast Bancorp of Florida )(Brief Article)
April 1, 2005... 1. Capital One plans to acquire Hibernia Corp. for $5.3 billion in cash and stock, creating a financial institution that ranks in the top 10 for consumer lending and the top 20 for total deposits. The acquisition price represents a 24 percent...

Security: California Law Holds Firms Responsible for Breaches: State law may be moving to a national stage.
April 1, 2005... As consumer fears over ID theft mount, politicians are intensifying their battle against fraudsters and firms with lax security. While banks do a better job than most companies at securing customer data, insiders say standards traditionally...

Hits and Has-Beens.(promotions and resignations)(Brief Article)
April 1, 2005... Washington Mutual has promoted Michael Amatto to president of retail-banking distribution and Ken Kido to president of banking products and operations. Wamu is searching for a new head of its home loan business to allow Craig Chapman, who had...

Stock Performance: Prices Under Pressure in '05: It'll be tough to duplicate last year's healthy profits.
April 1, 2005... Even as the economy generally improves and optimism is rising, bank stocks are revealing signs of weakness, and industry sources don't expect a turnaround anytime soon. The S&P 500 posted a return of 1.9 percent this year, as of March 7,...

Pipeline.
April 1, 2005... Jury Says Wells FARGO Bilked Widow After less than two days of deliberations last month, a Texas jury found Wells Fargo Bank Texas and law firm Baker Botts breached their fiduciary duties to Kathleen C. Cailloux by failing to disclose...

Tax Advice: JPMorgan Aims to Become 'Go-To' Firm for Tax Info: Institutional investors can tap Web-based service.
April 1, 2005... With the global economy turning the world into a complex web of tax laws and regulations, JPMorgan Chase has jumped into the fray in hopes of easing all of that confusion-and making a few bucks doing it. In late February it launched...

Legal Glitch Frustrates S Corp. Filings: S corporation tax advantages have tempted banks for years, but a new law designed to make it easier has proven flawed. The expected remedy won't be ready for 2005 filings.
April 1, 2005... This should have been the year of the S corporation, but a glitch in a new law designed to widen the door for depository institutions to convert to this more tax-favorable status has frustrated many community banks and thrifts. Though...

The Fifth Column.(data security of banking industry)
April 1, 2005... It's no secret that security has been top of mind for bank executives for quite some time. Hackers, viruses and denial-of-service attacks have all been expensive headaches for lo these many years. But evidence is mounting that external threats...

Seeing Opportunity Where Once There Was None: With deposit growth now the name of the game, institutions large and small are redoubling their efforts to seek out the unbanked. And they're not sorry they did.
April 1, 2005... After a decade or more of fumbling, banks of all sizes are finally making headway in serving unbanked consumers and acknowledging the multibillion dollar potential of this untapped segment with aggressive initiatives. Two keys to success:...

AD Beat: Remember Me? Once-Defunct CBT Reappears.: Hartford's populist bank comes back from the dead, inserting itself into a hyper-competitive banking scene. Early results are promising, but is nostalgia enough?(Connecticut Bank & Trust)
April 1, 2005... Connecticut Bank & Trust is back from the dead. Former management of this well-loved little bank successfully brought it back to life, building assets of $78 million in less than a year. Girded by a new mass media campaign featuring University...

Their Styles May Differ, But Many CEOs Remain Keen on Branches: In a bid to snag new bank customers and hold on to existing ones, many CEOs insist on rolling out more branches, a strategy some say could backfire-soon.
April 1, 2005... Ray Davis makes it look so easy. Perfectly turned out in a designer suit with a tan to match, the president and CEO of Umpqua Holdings Corp. has one thing on his mind-top-line growth-when he addresses a packed room at a recent bank conference....

Battle-ground State: Ohio is headquarters to four of the nation's biggest banks, and plenty more have laid claims there. The competition is good for the Buckeye state's consumers and businesses. But is it good for the banks?
April 1, 2005... David Daberko considers himself a tough competitor. Back in his college days at Ohio's Denison University, he earned four varsity letters on the soccer field as a sweeper. Today, the 59-year-old chairman and CEO of Cleveland-based National City...

Regulations Add Wrinkle to M&A: Caveat Emptor is the name of the game more than ever, lest buyers get saddled with the legal troubles of their new firm.
April 1, 2005... It may not go down as the largest M&A deal of 2005, but it's the odds-on favorite to be the most memorable. The ink had not dried on PNC Financial Services Group's renegotiated acquisition of Riggs National Corp. in February-it shaved more...

Leaders by Deal Value: Bank & Thrift Mergers and Acquisitions through December 31, 2004*.(Illustration)
April 1, 2005... Announced Deal Number Rank Firm Value ($million) of Deals 1 JPMorgan Chase 72860.4 5 2 Lazard Freres 59239.7 1 3 UBS Securities...

Leaders by Number of Deals: Bank & Thrift Mergers and Acquisitions through December 31, 2004*.(Illustration)
April 1, 2005... Number Announced Deal Rank Firm of Deals Value ($millions) 1 Keefe, Bruyette & Woods 1 44 13468.8 2 Sandler O'Neill 1 42 13203.6 3 Hovde...

Last 3 Years at a Glance: Bank & Thrift Mergers through December 31, 2004.(Illustration)
April 1, 2005... (part 1 of 3) 2004 Through December 31, 2004* Announced Deal Number Firm ...

Top Advisors' Fees: Top 25 Bank & Thrift Mergers thru December 31, 2004.(Illustration)
April 1, 2005... (part 1 of 4) Rank Buyer 1 JPMorgan Chase, New York, NY 2 Bank of America, Charlotte, NC 3 Wachovia, Charlotte,NC 4 Citizens Financial, Providence, RI 5 SunTrust, Atlanta, GA 6 ...

Is Being a Do-Gooder A Good Thing for Banks?: Community banks have long positioned themselves as the lifeblood of local communities. But when it comes to choosing a bank, research shows that consumers don't seem to care much.
April 1, 2005... Recent research reveals alarming apathy among consumers and business owners regarding two of the biggest advantages community banks tout over larger rivals: local ownership and community involvement. Even so, researchers and bankers contend...

The End of Cheap Money: It may sound like a broken record, but mortgage rates can't hold out much longer against the steady rate hikes from the Fed. And industry consolidation may follow.
April 1, 2005... The mortgage market that defied logic last year won't get a second act in 2005, according to economic swamies, as rising short-term interest rates will finally affect the nation's homeowners and hopeful homeowners. That mortgage rates did...

Top Residential Originators.(Illustration)
April 1, 2005... (dollars in millions) (part 1 of 2) Rank Organization Name 1 Countrywide Financial Calabasas, CA 2 Wells Fargo Home Mortgage San Francisco, CA 3 Washington Mutual Seattle, WA 4 Chase Home...

Top Residential Servicers.(Illustration)
April 1, 2005... (dollars in millions) (part 1 of 2) Rank Organization Name 1 Countrywide Financial Calabasas, CA 2 Wells Fargo Home Mortgage San Francisco, CA 3 Washington Mutual Seattle, WA 4 Chase Home...

More Education, More Designations and More Certifications: Legions of students and pros bone up on the latest and greatest in wealth management. But debate is growing over which accreditations are meaningful.
April 1, 2005... Bank wealth-management employees are increasing their enrollment in myriad professional courses, hoping to increase their value and help their career path. But some in the industry question the real value of all those designations. To be...

The Bedeviling Task of Counting the Nation's Jobs: Few economic surveys are as controversial as those assessing the country's jobs picture. But the two most popular sets of data are often at odds, giving each political party something to spin-and keeping Americans confused.
April 1, 2005... For anyone trying to get a handle on the U.S. job market, which is virtually everyone, monthly employment figures are predictably maddening, couched as they often are in an array of caveats, exceptions, seasonal adjustments and one-time...

Banks Can Take Advantage of Onerous Regulatory Rules.
April 1, 2005... The drain on America's financial institutions in terms of both cost and time thanks to growing regulatory burdens is well documented and weighing heavily on the minds of industry leaders. The problem is particularly acute for community banks....