US Banker articles from November 2004

US Banker archives from November 2004

Rant sand Raves.(merchant processing)(Letter to the Editor)
November 1, 2004... Amex's Merchant Processing The central theme of your October article "With Its Long Green Arm, Amex Reclaims Processing" is inaccurate and I am writing to ask that you set the record straight. Here are the facts. Processing is not a...

Influence Defined By Those Who are Living It: The crossroads of finance and community can make the difference between whether a town, a family or a small business thrives or languishes. And women are on the frontlines of this revolution.
November 1, 2004... In corporate America, many who desire power may well attain it, yet lack the influence necessary to impart real change. But those individuals who possess power and influence, anchored by outstanding professional and personal achievement, are...

Succession Planning: Is Sallie Krawcheck Ready For Citi's Big League?: Everyone's got a theory about her rise to CFO.(Chief Financial Officer)
November 1, 2004... When Sallie Krawcheck, chief executive of Citigroup's Smith Barney brokerage unit, was named the most powerful woman in banking by this magazine in 2003, she protested vociferously-via a spokesperson-saying she wasn't a banker. No such luck...

Scene and Heard.
November 1, 2004... "Competition in the free checking arena sometimes gets ridiculous." Phil Hudson, president of Aspen Consulting Group on why bank pricing creates unprofitable customers. "We're a bank that wants people to be very clear about where...

Outsourcing: Return to the Mother Ship: UBS, JPMorgan to bring long-time contracts in-house.
November 1, 2004... Taking a hard-line stance on curbing IT costs, two banks announced plans to reintegrate billions in outsourced work. Market observers say this may signal an IT "in-sourcing" trend. JPMorgan Chase terminated a $5 billion, seven-year contract...

Hits and Has-Beens.(Brief Article)
November 1, 2004... James Winters III left his CFO post at SunTrust Securities, the Atlanta brokerage owned by SunTrust Banks, to become CFO of StillPoint Advisors, a wealth-management firm launched earlier this year by Chuck Ogilvie and several other former...

Fresh Ink.(Brief Article)
November 1, 2004... 1. Wachovia Corp., the fifth-largest wealth manager in the U.S., agreed to buy Tanager Financial, an independent wealth-advisory firm. Tanager serves 175 families and has $2 billion under advisement. The acquisition is expected to close in the...

Mergers: With Santander OK, Europe says yes to Deals: Will domestic consolidations speed up first?
November 1, 2004... Santander Central Hispano's purchase of British mortgage lender Abbey National, which recently received approval from regulators, may be the largest cross-border merger in European history and a strategic move for the Madrid bank. But it's...

Pipeline.
November 1, 2004... This Duck Fits the Bill The AFLAC spokesduck, quacking its way through many a TV commercial over the past several years, has been inducted into the Advertising Walk of Fame. The insurance firm's feathered mascot is credited with elevating...

Hang Out the Company Shingle, and Watch It Disappear.
November 1, 2004... The corporate idea is to legally personify a business venture, insulating the individuals within. But in the age of electronic identity theft, this legal persona can be hijacked just the same as credit card receipts left on the restaurant...

Noted and Noteworthy.(Willamette Community Bank )(Brief Article)
November 1, 2004... In the wilds of northwestern Oregon, one bank isn't afraid to put the down-home in community business. Willamette Community Bank ran all summer out of a double-wide trailer on a gravel pad. Willamette Community, a start-up based in Albany,...

Exploiting the Fear Factor: A perfect storm is brewing between former U.S. defense officials and investment bankers, as they eye the $35 billion Homeland Security budget. Look out for all that hot air.
November 1, 2004... Oil-services firm Halliburton may be the poster child for U.S. largess, but the government is nothing if not an equal-opportunity employer-and now financial services firms are lining up to feed at the trough. Contractors are hoping to...

Loan-origination Technology: Kansas Bank Chose To Evolve, Not Perish: When First National Bank lost two of three loan officers, it electronically made its 31 customer-service reps de facto officers. It's not the Olathe bank's first turnaround.
November 1, 2004... On a mid-September afternoon, downtown Olathe, KS, shut down to celebrate Settlers' Day for the 156th year in a row-marking more than a century and a half of welcoming new residents to a community that prides itself on adapting to the lifestyle...

Hawking the ATM Of the Future: Clamoring for a competitive edge, banks are pursuing a new wave of advanced ATM technology. Biggies like Bank of America are already trumpeting the latest gadgets as small firms with the same technology keep quiet.
November 1, 2004... It seems banks are, once again, failing to seize a marketing opportunity staring them right in the face. The industry is sitting on major ATM upgrades developed in recent years, and despite proof that consumers like check imaging and other...

AD Beat: Citi Tries to Harness The Power of 'Thank You': Citigroup's follow-up to its widely praised identity-theft campaign is intriguing, but experts wonder if it's too far out to bolster the brand and its product.
November 1, 2004... If simply saying "thank you" could undo blunders as effectively as it does in Citibank's latest television commercials, there'd be a lot more gratitude going around. Citibank has infused financial services advertising with some much needed...

Direct Sales for Dummies: First Tennessee Bank's Everett Stephens helped direct-sales revenue soar with a focus on contact-center minutiae. His eye is on the goal, not the missteps.(Interview)
November 1, 2004... In June 2001, Everett Stephens was assigned 15 college students and challenged to improve First Tennessee's direct sales efforts, which were bringing in less than $1 million in annual revenue. It was an experiment, says the vp of direct sales....

Banking's Big Leaguers.
November 1, 2004... In an industry once known for railing against innovation and denying shifts in paradigm, banking's best-kept secret-or is it irony?-is that its top performers are now the ones calling the shots, prompting fans (investors) and rivals (any...

Mellon's Leader is A Study in Grace Under Pressure.
November 1, 2004... No.1 Martin McGuinn Chair & CEO, Mellon Financial Pittsburgh PA Return on equity: 22.4 Three-year average ROE: 25.2 Stock price: $27.67 P/E ratio: 15.5 2Q net earnings per-share: 42 cents Total capital...

Attention to Detail Pays Big Benefits at North Fork.
November 1, 2004... John Adam Kanas CEO, North Fork Bancorp: Melville NY Return on equity: 22.9 Three-year average ROE: 24.9 Stock price: $43.76 P/E ratio: 16.4 2Q net earnings per-share: 68 cents Total capital ratio: 13.90 ...

First Horizon Aims to Be Another Household Name.
November 1, 2004... No. 3 Ken Glass Chairman & CEO, First Horizon Memphis TN Return on equity: 25.4 Three-year average ROE: 24.3 Stock price: $42.02 P/E ratio: 11.52 2Q net earnings per-share: 92 cents Total capital ratio:...

Former Publisher Finds Second Calling.
November 1, 2004... No. 4 David Payne CEO, Westamerica Bancorp San Rafael CA Return on equity: 30.65 Three-year average ROE: 28.4 Stock price: $55.72 P/E ratio: 19.1 2Q net earnings per-share: 76 cents Total capital ratio:...

A Dream Made in Heaven For a 'Damn Good Banker'.
November 1, 2004... No. 5 Marvin 'Skip' Schoenhals Chairman & CEO WSFS Financial: Wilmington DE Return on Equity: 12.98 Three-year average ROE: 43.2 Stock price: $51.57 P/E ratio: 16.8 2Q net earnings per share: 82 cents ...

Stellar Flagstar Throttles Ahead to Shine Even As Interest Rates Rise.
November 1, 2004... No. 1 Flagstar Bancorp Troy MI Total assets: $12 billion 2004 YTD return on average equity: 23.01 Three-year average ROE: 39.9 Stock price: $20.78 P/E ratio: 6.50 2Q earnings per share: 65 cents Total...

As Any Bank Knows, It's Always About the Numbers.(Company Profile)
November 1, 2004... No. 2 Mellon Financial Pittsburgh PA Total assets: $33.4 billion 2004 YTD Return on average equity: 22.4 Three-year average ROE: 25.2 Stock price: $27.67 P/E ratio: 15.5 2Q net earnings per-share: 42 cents...

Way Out In Front and Working To Gain Even More Ground.(Company Profile)
November 1, 2004... No. 3 WSFS Financial Wilmington DE Total assets: $2.4 billion 2004 YTD Return on average equity: 12.98 Three-year average ROE: 43.2 Stock price: $51.57 P/E ratio: 16.8 2Q net earnings per-share: 82 cents ...

In Big-Bank Dominated California, This Mid-Tier Shrewdly Picks Its Battles.(Company Profile)
November 1, 2004... No. 4 Westamerica Bancorp San Rafael CA Total assets: $4.6 billion 2004 YTD Return on average equity: 30.65 Three-year average ROE: 28.4 Stock price: $54.43 P/E ratio: 18.50 2Q net earnings per-share: 76...

Do Profits Alone a Bank Make?(Company Profile)
November 1, 2004... No. 5 Hudson United Bancorp Mahwah NJ Total assets: $8.9 billion 2004 YTD return on average equity: 26.4 Three-year average ROE: 26.9 Stock price: $38.25 P/E ratio: 14.64 2Q net earnings per-share: 70 cents...

Size Does Count When You're a True Coast-to-Coaster.
November 1, 2004... No. 1 Cathy Bessant CMO, Bank of America: Charlotte NC Marketing philosophy: Bring Bank of America's massive resources to bear on marketing the firm as a true, coast-to-coast player, using size to its advantage. Never allow...

If Your Bank is Boring, Fix It Already.
November 1, 2004... No. 2 Anne MacDonald Head of global marketing, consumer group, Citigroup: New York NY Marketing philosophy: Hire the best possible marketing talent, rather than relying on external input. An insatiable curiosity that drives...

Still Shocking And Awing The Industry.
November 1, 2004... No. 3 John Cunningham CMO, Commerce Bank: Cherry Hill NJ Marketing philosophy: Wow consumers and shame the competition with over-the-top service and product offerings, while keeping everything precisely consistent market to...

Making Over a Giant And Its Four-Member Family.
November 1, 2004... No. 4 Jim Garrity Chief marketer & evp, Wachovia :: Charlotte NC Marketing philosophy: Promote a master brand and four sub-brands with integrated marketing. Avoid chest beating about products, services, scale or track record....

Deftly Managing An Army of Affiliates.
November 1, 2004... No. 5 Nina Elmore Svp & director of marketing Synovus Financial: Columbus GA Marketing philosophy: Balance the customer intimacy of a community bank with a sophisticated strategy for brand and marketing, empowering affiliate...

Rallying Friends and Enemies: Commerce Bank is charging ahead with its outspoken focus on convenience. The bank's rapid growth is more than meteoric, but rivals are eager to cut into its lead.
November 1, 2004... Top Retail Banking Team Commerce Bank In many ways, Vernon Hill's Commerce Bank is the toast of New York. And it seems there are many people in New York who'd like to make toast out of Vernon Hill's Commerce Bank. Such are the...

Coddling a Behemoth's Baby: Smaller and less well-known in money management than some of its rivals, Wells Fargo capitalizes on opportunistic buyouts and well-considered advice to advance.
November 1, 2004... Top Asset Management Team Wells Fargo When Wells Fargo comes up in financial conversations, it's fair to say it's usually not about money management. Technology, yes. West Coast power, yes. But it's mostly seen as a big retail and...

Fighting Off Competition From The Not-So-Little Guy: With profit margins crumbling and competition from regionals and money-center banks, community banks are facing a new foe: mega credit unions. And they walk and talk just like real banks.
November 1, 2004... The American Bankers Association is spearheading a letter-writing campaign among member banks to pressure legislators not to support the controversial Credit Union Regulatory Improvement Act, which is expected to be reintroduced in the next...

Is 'Free' Too Costly For Most Banks?: Though 85 percent of all banks offer free checking, few, if any, are making money off the accounts. Those with less than $1,500 actually cost the bank money. How can that be worth it?
November 1, 2004... Traditionally the territory of small banks and credit unions, free-checking accounts are at the peak of fashion among institutions of all sizes. Like the latest trends on the cat-walk, companies are clamoring to offer their own version of...

Chasing NSF Fees.(Non Sufficient Funds )
November 1, 2004... Insufficient funds fees can be a focal point for profitability in free checking accounts and bankers are polarized on the ethics of this topic. Industry insiders say there are droves of third-party firms cropping up at industry conferences...

Average Minimum Balance to Avoid Fee.(Brief Article)(Illustration)
November 1, 2004... Interest-bear Non-interest-bearing Year accounts accounts Spring 2004 $2,425.83 $227.96 Spring 2003 $2,015.04 $354.14 Spring 2002 $1,767.36 $394.60 ...

And Now, a Global Concierge For All Your Biz Needs: Silicon Valley Bank isn't shy about drumming up business in the globe's far-flung technology centers. The California wunderkind has opened offices in England and India. China and Israel are next.
November 1, 2004... Silicon Valley Bank's opening of two units in London and Bangalore, India-with plans to open others in China and Israel in 2005-may signal a new breed of business banking: a unique merchant services/private banking hybrid designed to be all...

Fighting Bank Fraud With a Strong Defense:June Felix General manager and global head of risk and compliance at IBM.
November 1, 2004... Mounting losses from financial fraud have a chilling effect on US companies and their customers, creating a need for greater assurances of safety in financial transactions. A trusted, central authority quickly authenticating millions of daily...

U.S. Banker Advertising Contacts.(Brief Article)(Directory)
November 1, 2004... Group Publisher Jay Berfas Thomson Media One State Street Plaza New York, NY 10004 Tel: 212.803.8690 Fax: 646.264.6800 U.S. Banker Account Representatives Southeast/Mid-Atlantic Publisher David...

End of the Line for the Monolines?: By , managing director, Novantas.
November 1, 2004... When U.S. consumers were busy piling up debt at levels unseen in world history, specialty lenders were at the top of their game. Each time rates fell by one notch, credit-card balances and mortgage originations seemed to rise by 10 notches, and...