Friday, April 1, 2011

U.S. Bancorp

U.S. Bancorp is a diversified financial services holding company, headquartered in Minneapolis, Minnesota. It is the parent company of U.S. Bank, the fifth largest commercial bank in the United States based on $310 billion in assets. U.S. Bank ranks as the sixth largest bank in the U.S. based on deposits, with $204B in deposits as of December 31, 2010. With 3,069 banking offices and 5,310 ATMs, U.S. Bank's branch network serves 25 states. U.S. Bancorp offers regional consumer and business banking and wealth management services, national wholesale and trust services and global payments services to more than 15.8 million customers. The company employs over 60,000 people.
U.S. Bank National Association (U.S. Bank) is a nationally chartered bank, regulated by the Office of the Comptroller of the Currency, Department of the Treasury.

Rankings and awards

U.S. Bancorp is ranked 121 in the 2010 list of Fortune 500 companies.
U.S. Banker magazine, published by SourceMedia, has ranked U.S. Bancorp’s women leaders as the top banking team in its annual "Most Powerful Women in Banking" issue in 2006, 2007, 2008 and 2009.
U.S. Bancorp is ranked #1 by Institutional Investor magazine in its 2009 "America's Most Shareholder-Friendly Companies" for the Financial Institutions/Large-Cap category.
Kiplinger's 2009 "Best List" ranked U.S. Bank's FlexPerks card best if you want travel perks.
In July 2009, U.S. Bancorp was named the "Best Bank in the U.S." by Euromoney magazine as part of its 2009 Awards for Excellence.
U.S. Bank has been ranked first in the nation in the Privacy Trust Study for Retail Banking conducted by the Ponemon Institute in 2006, 2007,2008 and 2009.

History

Today’s U.S. Bank was forged during the 1990s from the combination of several major regional banks, including Star Bank, WestOne Bank, Firstar, Mercantile, First Bank System, U.S. Bank, and Colorado National Bank. Those banks, in turn, had grown from the mergers of numerous smaller banks throughout the years. In the eastern part of the franchise, U.S. Bank traces some of its earliest roots to 1853 when Farmers and Millers Bank in Milwaukee opened its doors, growing into the First National Bank of Milwaukee and eventually becoming First Wisconsin and ultimately Firstar. In St. Louis, State Savings Institution, with just $8,500 in capital and one teller, opened in St. Louis in 1850, later to become part of the Mercantile Trust Company, the forerunner of Mercantile Bancorporation. In Cincinnati, The First National Bank of Cincinnati opened for business in 1863 under National Charter #24 with the boom of Civil War cannons firing just across the Ohio, but it survived through many more decades to grow into Star Bank. About this same time, the First National Bank of St. Paul and the First National Bank of Minneapolis were chartered in 1864. These two First Nationals formed a holding company in early 1929, known as First Bank Stock Corporation, and they kept that name until 1968 when they became First Bank System. Across the Rocky Mountains in 1891, several prominent business leaders received a charter for The United States National Bank of Portland, Oregon, a de novo banking company.
From their largely unremarkable beginnings, these banks thrived as independent entities, each growing into a respected force (and usually the largest commercial bank) in their respective marketplaces. As opportunities arose, each participated in in-market mergers and acquisitions during the early decades of the 20th century and in more widespread expansions during the 1980s and 1990s — including the 1993 transaction that brought Colorado National Bank in Denver into the First Bank System, and West One Bancorp of Boise, Idaho, coming into the original U.S. Bancorp in 1995.
Of particular note, in 1902 the U.S. National Bank of Portland was merged into the Ainsworth National Bank of Portland, but kept the U.S. National Bank name. The decision turned out to be an auspicious one, as a 1913 federal law prohibited other banks from using “United States” in their names from that time forward. U.S. National was among the first banks to form a bank holding company — called U.S. Bancorp.
Since 1988 alone, mergers with and acquisitions of more than 50 banks, large and small, have helped form today’s U.S. Bank. During the 1990s, Star, Firstar, and Mercantile merged to become the new Firstar, and First Bank System and U.S. Bancorp combined as U.S. Bancorp. On February 27, 2001, Firstar and U.S. Bancorp became today’s new U.S. Bancorp.
The present day U.S. Bancorp was created by the merger of Firstar Corporation in Milwaukee, Wisconsin, and Star Bank in Cincinnati, Ohio in 1999. Five months later, Firstar acquired the Mercantile Bancorporation of St. Louis, Missouri. The last major acquisition was Firstar's buyout of U.S. Bancorp, headquartered in Minneapolis, Minnesota completed on February 27, 2001. Firstar retained U.S. Bancorp's name and headquarters.
US Bank in Hudson, Ohio.
The original U.S. Bancorp succeeded the United States National Bank of Portland established in Portland, Oregon in 1891; it changed its name to the United States National Bank of Oregon in 1964. That corporation was acquired in 1997 by First Bank System, Inc., which had its headquarters in Minneapolis, Minnesota. With that acquisition, First Bank System changed its name to U.S. Bancorp. First Bank System was the successor of a bank holding company formed in 1929 by several banks in the Upper Midwest, most notably the First National Bank of Minneapolis and the First National Bank of St. Paul, both of which had been established in 1864.
On November 14, 2008, U.S. Bancorp received $6,599,000,000 from the Emergency Economic Stabilization Act in the form of a preferred stock and related warrants. On November 21, 2008 U.S. Bank purchased Downey Savings & Loan Assn FA from Downey Financial Corp and Pomona First Fed Bk & Tr(PFF) from PFF Bancorp Inc,CA. At year-end 2008, U.S. Bancorp had total assets of $266 billion, and U.S. Bank was the 6th-largest commercial bank within the United States. On June 17, 2009, U.S. Bancorp redeemed the $6.6 billion of preferred stock and on July 15, 2009, it completed the purchase of a warrant held by the U.S. Treasury Department. This effectively concluded U.S. Bancorp’s participation in the Capital Purchase Program. It was among the first banks to repay the Troubled Asset Relief Program (TARP) funds.
On October 5, 2009 US Bancorp announced its acquisition of the mutual fund administration and accounting servicing division of Fiduciary Management, Inc. On October 7, 2009 U.S. Bank, agreed to buy the bond trustee business of First Citizens Bank, a subsidiary of First Citizens BancShares Inc. On October 14, 2009 U.S. Bank agreed to acquire the Nevada banking operations of BB&T Corp. On October 20, 2009 US Bancorp completed a transaction to purchase FBOP Corporation’s nine subsidiary banks from the FDIC: BankUSA, National Association (AZ), California National Bank (CA), Citizens National Bank (TX), Community Bank of Lemont (IL), Madisonville State Bank (TX), North Houston Bank (TX), Pacific National Bank (CA), Park National Bank (IL), and San Diego National Bank (CA). The banks in Texas have since been sold.
On January 28, 2011, US Bancorp acquired the assets and deposits of First Community Bank of New Mexico. That is the first entry into New Mexico, its 25th state.

Lines of business

The US Bank tower in downtown Denver, Colorado.
U.S. Bancorp operates four main lines of business that serve individuals, businesses of all sizes, municipalities and other financial institutions.
U.S. Bancorp and its subsidiaries, including U.S. Bank, provide a comprehensive selection of premium financial products and services to individuals, businesses, nonprofit organizations, institutions, and government entities. U.S. Bank products and services are distributed primarily through four major lines of business.
Consumer Banking delivers products and services to the broad consumer market and small businesses, and encompasses community banking, metropolitan banking, small business banking, consumer lending, mortgage banking, workplace banking, student banking, 24-hour banking, and investment products and insurance sales.
Wholesale Banking offers lending, depository, treasury management, and other financial services to middle-market, large corporate, and public-sector clients.

U.S. Bank Stats

U.S. Bancorp operates under the second-oldest continuous national charter, originally Charter #24, granted during Abraham Lincoln’s administration in 1863 following the passage of the National Banking Act. Earlier charters have expired as banks were closed or acquired, raising U.S. Bank from #24 to #2.
U.S. Bank has full-service branch offices in more states than any other bank.
U.S. Bank helped to finance Charles Lindbergh’s historic flight across the Atlantic.
U.S. Bank is the fifth-largest check processor in the nation, handling 4 billion paper checks annually at 12 processing sites. The bank’s air and ground courier fleet moves 15 million checks each day.

Payment services

Through its payment services line of business, U.S. Bancorp delivers payment solutions and services for individuals and businesses across the globe.
Elavon is a wholly owned U.S. Bancorp subsidiary providing merchant processing services worldwide.
These divisions are also part of Payment Services:
  • Corporate Payment Systems
  • Elavon: Credit, debit, electronic check, and gift card merchant processing
  • Retail Payment Solutions: debit, credit, small business, gift and specialty card issuance
  • Healthcare Payment Solutions
  • Financial Institution services

Wholesale banking

U.S. Bancorp’s wholesale banking business line serves large companies, nonprofit organizations and municipalities. It provides deposit services, payments, treasury management services, financing, leasing, investments, and international trade financing.
These functions are a part of wholesale banking at U.S. Bancorp:
  • National Corporate Banking
  • Middle Market Commercial Banking
  • Commercial Real Estate
  • Correspondent Banking
  • Dealer Commercial Services
  • Foreign Exchange
  • Government Banking
  • International Banking
  • Treasury Management
  • Business Equipment Finance & Leasing
  • Small Business Administration (SBA) Division
  • Specialized Industries and Finance
  • Title Industry Banking
  • Homeowners Association Banking

Wealth Management & Securities Services

U.S. Bancorp’s Wealth Management & Securities Services business line provides services for individuals, institutions, businesses and municipalities to build, manage, preserve and protect wealth, as well as provide custody, delivery and obligation services.
Included in this business line are:
  • The Private Client Reserve
  • U.S. Bancorp Investments, Inc.
  • U.S. Bancorp Insurance Services, LLC
  • Corporate Trust Services
  • Institutional Trust & Custody
  • FAF Advisors, Inc.
  • U.S. Bancorp Fund Services, LLC

Consumer banking

U.S. Bancorp’s consumer banking division serves consumers and small businesses. This line of business includes:
  • Community Banking
  • Metropolitan Branch Banking
  • In-store and Corporate On-Site Banking
  • Small Business Banking
  • Consumer Lending
  • 24-Hour Banking & Financial Sales
  • Home Mortgage
  • Community Development
  • Workplace and Student Banking
  • Transaction Services: ATM and Debit Processing and Services

Coverage

U.S. Bankcorp footprint
U.S. Bancorp payment and merchant processing services are global, and the wholesale and trust services are national. As of January 28, 2011, the consumer and business banking services are in 25 states including: Arizona, Arkansas, California, Colorado, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Ohio, Oregon, South Dakota, Tennessee, Utah, Washington, Wisconsin, and Wyoming. It also has operations in Canada and Europe.

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