MINNEAPOLIS & WINSTON-SALEM, N.C.--(BUSINESS WIRE)--Oct. 13, 2009--
U.S. Bancorp (NYSE: USB) and BB&T Corporation (NYSE: BBT) announced
today the signing of a definitive agreement for U.S. Bank National
Association, U.S. Bancorp’s lead bank, to purchase approximately $800
million in deposits and certain branch locations of BB&T’s Nevada
banking operations. This acquisition includes the deposits of branches
located in the Las Vegas-Paradise market, Reno-Sparks market and the
Northern Nevada markets of Carson City, Fallon and Gardnerville Ranchos,
that BB&T recently acquired from the Federal Deposit Insurance
Corporation (FDIC) as receiver for Colonial Bank.
Rick Hartnack, vice chairman of consumer banking for U.S. Bancorp,
commented, “This transaction will strengthen our geographic footprint in
Nevada. This transaction is well-timed, as we have now completed the
highly successful integration of Downey Savings & Loan, PFF Bank & Trust
and the First Bank of Idaho branch locations, all recent FDIC-assisted
transactions. As we continue to widen and enhance our distribution
network in our Nevada markets, this purchase presents a great
opportunity for us to deepen customer relationships by offering U.S.
Bank’s extensive mix of products and services to our new customers,
while providing the convenience of additional ATM and branch locations
to both new and existing clients.”
Terms of the transaction were not disclosed. This acquisition is
expected to meet or exceed U.S. Bancorp’s internal financial hurdles for
internal rate of return and earnings per share accretion. This
transaction is subject to regulatory approval and is anticipated to
close in early 2010.
At June 30, Winston-Salem, N.C.-based BB&T Corporation had $152.4
billion in assets and was the nation's 11th largest financial holding
company. Founded in 1872, BB&T operates more than 1,800 financial
centers in 13 states and Washington, D.C. More information about the
company is available at BBT.com.
U.S. Bancorp, with $266 billion in assets, is the parent company of U.S.
Bank, the 6th largest commercial bank in the United States. The company
operates 2,850 banking offices and 5,173 ATMs in 24 states, and provides
a comprehensive line of banking, brokerage, insurance, investment,
mortgage, trust and payment services products to consumers, businesses
and institutions. Visit U.S. Bancorp on the web at usbank.com.
The following information appears in accordance with the Private
Securities Litigation Reform Act of 1995:
This press release contains forward-looking statements about U.S.
Bancorp. Statements that are not historical or current facts, including
statements about beliefs and expectations, are forward-looking
statements and are based on the information available to, and
assumptions and estimates made by, management as of the date made. These
forward-looking statements cover, among other things, anticipated future
revenue and expenses and the future plans and prospects of U.S. Bancorp.
Forward-looking statements involve inherent risks and uncertainties, and
important factors could cause actual results to differ materially from
those anticipated. Global and domestic economies could fail to recover
from the recent economic downturn or could experience another severe
contraction, which could adversely affect our revenues and the values of
our assets and liabilities. Global financial markets could experience a
recurrence of significant turbulence, which could reduce the
availability of funding to certain financial institutions and lead to a
tightening of credit, a reduction of business activity, and increased
market volatility. Stress in the commercial real estate markets, as well
as a delay or failure of recovery in the residential real estate
markets, could cause additional credit losses and deterioration in asset
values. In addition, our business and financial performance could be
impacted as the financial industry restructures in the current
environment, by increased regulation of financial institutions or other
effects of recently enacted legislation, and by changes in the
competitive landscape. Our results could also be adversely affected by
continued deterioration in general business and economic conditions;
changes in interest rates; deterioration in the credit quality of our
loan portfolios or in the value of the collateral securing those loans;
deterioration in the value of securities held in our investment
securities portfolio; legal and regulatory developments; increased
competition from both banks and non-banks; changes in customer behavior
and preferences; effects of mergers and acquisitions and related
integration; effects of critical accounting policies and judgments; and
management’s ability to effectively manage credit risk, market risk,
operational risk, legal risk, and regulatory and compliance risk.
Finally, there can be no assurance that we will realize the anticipated
benefits of the acquisition of the Nevada deposits of BB&T Corporation.
For discussion of these and other risks that may cause actual results to
differ from expectations, refer to U.S. Bancorp’s Annual Report on Form
10-K for the year ended December 31, 2008, on file with the Securities
and Exchange Commission, including the sections entitled “Risk Factors”
and “Corporate Risk Profile,” and all subsequent filings with the
Securities and Exchange Commission under Sections 13(a), 13(c), 14 or
15(d) of the Securities Exchange Act of 1934. Forward-looking statements
speak only as of the date they are made, and the Company undertakes no
obligation to update them in light of new information or future events.
Source: U.S. Bancorp
Steve Dale, Media, 612-303-0784
Wendt, Media, 612-303-0731
Judith T. Murphy, Analysts,