MINNEAPOLIS--(BUSINESS WIRE)--Jan. 9, 2006--U.S. Bancorp
(NYSE:USB) announced today that its lead bank, U.S. Bank, N.A.,
completed the purchase of the corporate trust and institutional
custody businesses of Wachovia Corporation (NYSE:WB) on December 30,
2005. As a result of this transaction, U.S. Bank Corporate Trust
Services has acquired approximately 14,100 new client issuances and
$410 billion in assets under administration, and U.S. Bank
Institutional Trust & Custody has acquired approximately 1,700 new
clients and $570 billion in assets under administration.
As previously announced, this transaction clearly affirms U.S.
Bank as a leader in the corporate trust industry - the largest trustee
in the area of tax-exempt debt, the second largest in the area of
asset-backed and mortgage-backed securities, and the third largest in
new corporate bond issuances. The acquisition of the institutional
custody business provides U.S. Bank with significant scale and makes
U.S. Bank the ninth-largest institutional custody provider.
Under the terms of the agreement, the transaction had a $720
million initial cash purchase price with up to an additional $80
million payable within one year based on business retention levels.
The transaction enhances the corporate trust offices in six current
locations, and adds 19 new corporate trust offices and institutional
custody offices primarily in the mid-Atlantic and southeastern states.
With U.S. Bank's history of successful mergers, the company is
committed to ensuring a smooth transition. Conversion and integration
risks are minimized since U.S. Bank and Wachovia utilize similar
technology platforms and employ many of the same key vendors. U.S.
Bank is committed to providing Wachovia customers with the same high
level of quality services that current U.S. Bank corporate trust and
institutional custody customers have come to expect.
U.S. Bank currently has 31 corporate trust offices across the
country and offers a complete line of trust services. U.S. Bank serves
as trustee and paying agent for the issuance of taxable and
non-taxable securities, including the review of documents and
indentures, registration, and authentication of bonds, receipts and
disbursement of bond sale proceeds, successor trusteeships, escrow
account services and transfer and paying agency services. Also, U.S.
Bank provides mortgage-backed and asset-backed securitizations, money
market paying agency services, bond and tax administration and
document custody services.
U.S. Bank currently has 36 institutional trust & custody offices
in 24 states focusing on trust and custody services, retirement,
investment and health savings accounts for institutional clients. Its
product offerings include retirement plans (401(k), profit sharing or
money purchase pension plans and defined benefit), institutional trust
and custody, master trust services and health savings accounts.
U.S. Bancorp, with assets of $207 billion, is the 6th largest
financial holding company in the United States. The company operates
2,411 bank offices and 4,999 ATMs, and provides a comprehensive line
of banking, brokerage, insurance, investment, mortgage, trust and
payment services products to consumers, businesses and institutions.
U.S. Bancorp is the home of the Five Star Service Guarantee which
assures customers of certain key banking benefits and services or
customers will be paid for their inconvenience. U.S. Bancorp is the
parent company of U.S. Bank. Visit U.S. Bancorp on the web at
CONTACT: U.S. Bancorp
Steve Dale (Media Relations), 612-303-0784
Judith Murphy (Investor Relations), 612-303-0783
SOURCE: U.S. Bancorp