American Banker back issues from May 1995:
Farmer Mac, strapped for capital, asking Congress to ease rules.(Federal Agricultural Mortgage Corp.)
May 01, 1995; ... Farmer Mac, which has struggled for seven years to build a secondary market for farm loans, is now turning to Congress for help.The government-sponsored concern, formally known as the FederalAgricultural Mortgage Corp., is lobbying for broader powers and for an extension ...
The gloves are off at credit union agency, with Chairman, Director openly at odds.(National Credit Union Administration)
May 01, 1995 ... A fault line is running through the National Credit Union Administration.On one side stands NCUA Chairman Norman E. D'Amours and most of the agency staff. Across the chasm is director Robert Swan.The fissures, created by politics and personalities, have become ...
Va.'s Crestar to pay $259M for foothold in Baltimore.(Crestar Financial Corp.'s acquisition of Loyola Capital Corp.)
May 01, 1995; ... Crestar Financial Corp. expanded its empire to the north on Friday by agreeing to buy Loyola Capital Corp. of Baltimore, a $2.5 billion-asset thrift company, for $259.2 million in stock.Crestar, which is based in Richmond, Va., said the "binding agreement" calls for it to pay $32 ...
FDIC may face suit if premiums persist.(American Bankers Association plans to sue Federal Deposit Insurance Corp. over high deposit insurance prices)(Brief Article)
May 01, 1995; ... If the government lowers deposit insurance rates to 4.5 cents and stops there, bankers seeking a total elimination of the premium are likely to litigate.The American Bankers Association plans to drag the Federal Deposit Insurance Corp. to court if the agency insists on keeping bank ...
B of A development bank opening in D.C.(Bank of America Community Development Bank to open branch in Washington, D.C.)(Brief Article)
May 01, 1995; ... Bank of America's low-income lending arm is expanding into the Washington, D.C., market, a company spokeswoman said Friday.Julia Chang Bloch, speaking at the conclusion of a press conference on Community Reinvestment Act issues, said Bank of America CommunityDevelopment ...
Too many swap rules seen increasing risks.(Comptroller of the Currency Eugene A. Ludwig warns that excessive regulation of derivatives may trigger bank failures)(Brief Article)
May 01, 1995; ... Excessively firm regulation of risk management tools such as derivatives may actually increase the potential for bank failures, Comptroller of the Currency Eugene A. Ludwig said Friday.There is a "potential to tempt bank managers to turn over their safety and soundness ...
Judge signals that he may block Houston credit union's expansion.(court may reverse National Credit Union Administration decision allowing Communicators Federal Credit Union to open membership to anyone aged 50 or older in Houston, TX-area)(Brief Article)
May 01, 1995 ... A federal judge has hinted that he might reverse a decision by the National Credit Union Administration to let a Houston institution open its doors to all metropolitan area residents 50 or older - about 500,000 people.Lawyers representing the NCUA argued during a hearing that its ...
The Fed is no stranger to keeping close tabs on banks' loan quality.(Washington Monday: Inside the Nation's Capital)
May 01, 1995; ... Comptroller Eugene A. Ludwig grabbed the headlines last month when he announced the creation of a special committee to look at loan quality.Speaking at a Bankers Roundtable conference in Florida, Mr. Ludwig said he wants to avoid a repeat of the 1980s, when banks loosened their ...
Bentsen name is back on roster of Congress, but at the bottom. (US Representative Ken Bentsen)(Washington Monday: Inside the Nation's Capital)
May 01, 1995; ... Ken Bentsen arrived at the House Banking Committee this year with a high-powered name and a low-status seat.The Texas lawmaker is at the bottom of the pecking order - he's the committee's lowest-ranking Democrat in a Congress where Republicans are the top dogs.But his ...
S&T taking its golden touch to steel city suburbs.(S&T Bancorp)(Management Strategies)
May 01, 1995; ... Everyone in the banking industry these days talks about how much things have changed in the last 15 years. If you want to see the transformation of community banking during that period, there may be no better place to look than Indiana, Pa.The town of about 15,000, located in coal ...
Bankers have a big ho-hum over inclusion in Fortune 500.(31 banks make list)(Brief Article)
May 01, 1995; ... If making the Fortune 500 is the goal of chief executives everywhere, then bankers may be an exception to the rule.Officials from some of the largest banks found little to celebrate in the fact that 31 of them made the list in the May 15 issue of the magazine."Fortune ...
Profits up 30% at Memphis' Union Planters; card loan growth and wider margins help.(Union Planters Corp.)(Brief Article)
May 01, 1995; ... Having cleared the decks of merger-related charges last year, Memphis- based Union Planters Corp. sailed into clear seas in the first quarter, reporting better-than-expected earnings of $33 million, a 30% gain.Earnings per share of 74 cents came in 7 cents above consensus ...
Customer road map charting new Norwest territory.(Banking Strategies)
May 01, 1995; ... When it comes to building a sales culture, more and more bankers see their beau ideals in the likes of Wal-Mart and McDonald's.The retailer paradigm is, of course, not entirely new for bankers. But in recent years it has become impossible to escape the talk about branches as ...
Knowing customer needs is key to continued growth. (banking industry)(Column)
May 01, 1995; ... In a large West Coast city, a thirty-something professional rereads an analyst report that is bullish on the prospects for non-U.S. equities.She switches on her computer, connects to Fidelity's On-Line Express, and transfers 10% of her assets into the Janus World-Wide fund. Then ...
Technology: laying the groundwork for a successful sales culture.(Management Strategies)
May 01, 1995; ... As banks strive to differentiate themselves in a crowded, competitive marketplace, many institutions are realizing that a customer-focused strategy is the surest way to win.But the transition from a transaction-oriented to a sales-oriented organization is a tremendous challenge ....
Black investors revive New Orleans thrift. (Dryades Savings Bank)(Company Profile)
May 01, 1995; ... Several blocks south of the throbbing rhythms of Bourbon Street, stomping ground of world-famous jazzmen and die-hard revelers, is a quiet savings bank that appears to have seen better days.A couple of letters have fallen off the small "Savings and Loan" sign. A larger, turquoise ...
Illinois group answers attack from bankers with a 'unity campaign.' (Illinois Credit Union League)
May 01, 1995; ... The Illinois Credit Union League is rallying its membership to defend themselves from a traditional foe: bankers.The trade association used its annual convention April 20-22 to kick off its "Unity Campaign," a lobbying effort geared to protect the industry's advantages. About 2,000 ...
In supermarket banking, National Commerce has the right touch.(Management Strategies)
May 01, 1995; ... As banks seek to develop a stronger sales culture in their branches, they are faced with a vexing paradox: many of their employees became bankers precisely because they didn't want to sell.Not surprisingly, the desire to be more sales oriented has changed the way many banks hire, ...
Plea to aid thrifts gets cold shoulder. (proposal by Florida Bankers Association)(Brief Article)
May 01, 1995; ... Credit unions ought to chip in to rebuild the flagging Savings Association Insurance Fund, according to the Florida Bankers Association.Credit union reaction to the proposal was resoundingly negative.The Florida banking group, whose members include thrifts as well as ...
Springtime, shift to fixed loans smile on mortgage bank stocks. (spring 1995 home buying season)
May 01, 1995; ... The few remaining mortgage bank stocks are close to their 1995 highs, stimulated by a fortuitous combination of economics and the season.The economy and interest rates have stabilized as the industry enters the spring homebuying season, the busiest time for mortgage bankers. ...
Texas House takes up Senate-passed bill for home equity lending.
May 01, 1995; ... Legislation to legalize home equity lending in Texas is entering what's probably the home stretch, and lenders are already in the mood to party.The Texas Senate voted April 20 to amend the state's 156-year-old constitutional prohibition on most home equity lending. That action in ...
How Household got its bankers warmed up to cold calls.(Household Bank)(Management Strategies)
May 01, 1995; ... It's a rare bank these days that can't boast it has a telephone call center to handle routine customer inquiries automatically.Indeed, such systems have become nearly ubiquitous. One survey last year found that 87% of all banks had at least a basic telephone system, and another 7% ...
Upstate N.Y. thrift buys mortgage bank. (First Federal Savings and Loan Association of Rochester to buy Sibley Mortgage Corp.)(Brief Article)
May 01, 1995; ... First Federal Savings and Loan Association of Rochester, N.Y., has signed an agreement to acquire Sibley Mortgage Corp., also based in Rochester.The deal will place First Federal among the 50 largest mortgage servicers, with a portfolio of more than $9 billion of loans. ...
Resource in S.C. reports a drop in 1Q earnings. (Resource Bancshares Mortgage Group Inc., first quarter 1995)(Brief Article)
May 01, 1995 ... Resource Bancshares Mortgage Group Inc. reported that its net income in the first quarter fell to $1 million, or 8 cents a share, compared with $5.3 million, or 42 cents a share, in the same 1994 quarter.The decline came primarily as a result of a 66% reduction in sales of ...
What performance incentives does your bank offer branch personnel?(responses from six banking executives)(Management Strategies)
May 01, 1995; ... What performance incentives does your bank offer branch personnel?THOMAS K. FISHERSenior vice presidentComerica BankDetroitIN SOUTHEAST MICHIGAN, we use three interrelated incentive plans to reward our branch employees. These three plans ...
Marketer sees sunny future; economist spots a cloud. (Porges/Hudson Marketing CEO K. Shelly Porges; Credit Research Center Director Michael E. Staten)
May 01, 1995; ... A Major Credit card industry conference here last week turned into a celebration of apparently boundless growth and profitability.Marketing consultant K. Shelly Porges, serving as chairman of the Faulkner & Gray Credit Card Forum, launched the feast of optimism by pointing to three ...
South Dakota ranked as best, Kansas worst for card business. (DRI/McGraw-Hill study)
May 01, 1995; ... South Dakota topped the list of states best suited to operate a card business in 1994, according to a DRI/McGraw-Hill study.Kansas came in last."It wasn't a year of big change," said David Wyss, research director for DRI/McGraw-Hill in Lexington, Mass. But he said ...
GM ads drive home point: rebates can lead to a car. (General Motors Corp. MasterCard program)
May 01, 1995; ... General Motors Corp. has begun an aggressive advertising campaign to remind consumers that using the GM MasterCard for routine purchases today could help you buy a new car tomorrow.The ad campaign is the largest by the nation's No. 1 automaker since the 1992 launch of the GM ...
MAC network extends pact with three chains. (Money Access Service agreements with Price Chopper Supermarkets, Tops Friendly Markets Inc., Wegmans Food Markets Inc.)(Brief Article)
May 01, 1995 ... Money Access Service Inc., a subsidiary of Electronic Payment Services Inc. and operator of the MAC automated teller machine network, has extended business agreements with three major supermarket chains in New York state.The agreements ensure that nearly 300 stores in the state ...
National Data signs up a fourth Sarah Lee unit. (to provide credit card authorization/check guarantee services to Bali Studio)(Brief Article)
May 01, 1995 ... National Data Corp., the transaction processor, has been awarded a contract to provide credit card authorization and check guarantee services for Bali Studio, a venture of Sara Lee Intimates.This is the fourth division of Sara Lee ...
Visa International ATM said to be 1st in China. (automated teller machine in Baiyun Airport, partnership with Guangdong Development Bank)(Brief Article)
May 01, 1995 ... Visa said it has introduced the first international automated teller machine network in China through a partnership with the Guangdong Development Bank.A Visa/Plus ...
MasterCard cobranding with Chinese airline. (MasterCard International, Industrial and Commercial Bank of China cobrands with Shanghai Airlines)(Brief Article)
May 01, 1995 ... MasterCard International said Industrial and Commercial Bank of China and Shanghai Airlines have launched a cobranded credit card.Cardholders are rewarded with a 3% discount on all ticket bought at 15 Shanghai Airlines ...
To beat brokerages, thrift hires their brokers. (Coastal Federal Savings Bank)
May 01, 1995; ... Coastal Federal Savings Bank has figured out that one way to beat the competition is to hire its talent away.The Myrtle Beach, S.C., thrift is going against the received wisdom at most small-town institutions by drawing talent for its investment sales program from local brokerages ...
Third-party marketers struggling against the tide toward CDs. (certificates of deposit)
May 01, 1995; ... These are trying times for third-party marketers, the firms that provide brokers and technical support to help banks sell mutual funds and annuities through their branches.A upturn in certificate of deposit rates over the past year has lessened the allure of funds and variable ...
Liberty is said to be eyeing Wall Street Investor Services. (Liberty Financial Cos.)(Brief Article)
May 01, 1995; ... A marriage may be in the offing between two of the top companies that market investment products through banks.Well-placed sources say Liberty Financial Cos. is in serious discussions to buy a large piece of Wall Street Investor Services. The talks, according to the sources, are ...
Client/server software can automate payment for safe deposit boxes. (Servantis Systems Inc.'s Vault software)
May 01, 1995; ... Servantis Systems Inc. has developed client/server based software that automates the accounting and maintenance related to bank safe deposit boxes.The software, called Vault, automates the billing and receiving of safe deposit box rentals by allowing for direct debiting of bank ...
Investors optimistic on bank tech stocks; 1Q results boost Broadway & Seymour. (first quarter 1995)(Brief Article)
May 01, 1995; ... Bank technology stocks mainly rose last week, as first-quarter earnings reports continued to point to the sector's upbeat prospects for 1995.As the Dow Jones industrial average continued to rise to record levels, financial technology firms reported quarterly earnings that were ...
In derivatives storm, software specialist shines.(Cats Software Inc.)
May 01, 1995; ... As bankers and regulators scrutinize the risk and rewards of investing in derivatives, a Silicon Valley software firm has developed a profitable niche serving this volatile market.Since its inception in 1986, Cats Software Inc. of Palo Alto hasdeveloped derivatives ...
Calif. real estate loan volume kept plunging in first quarter.(Brief Article)
May 01, 1995 ... Real estate loan volume continued to decline in California during the first quarter, a victim of last year's risinginterest rates, a real estate information service reported.Dollar volume for the January-to-March period totaled $24.7 billion, down 57.3% from the ...
In workouts, it's crucial to act quickly.(Column)
May 01, 1995; ... If you are lending long enough, you are sure to see a strong borrower suffer a financial downturn that pushes your loan relationship into an area of unacceptable risk. Handling a troubled loan relationship most effectively requires a change in focus that may not come naturally to many ...
Correction.(Equifax working to assemble health-care payment giant, April 16, 1995, page 19)(Correction Notice)
May 01, 1995 ... An April 19 article on page 16, "Equifax Working to Assemble Health-Care Payment ...
Will weak growth push Fed to loosen?(Federal Reserve Board's management of interest rates)
May 01, 1995; ... It may have been a mild winter, but a chill ran through the nation's economy during the first quarter.The gross domestic product rose only 2.8% during the period, theCommerce Department reported Friday. That was below the 3.1% growth rate expected on Wall Street and well ...
Citicorp shares drop on news that preferred will be called early.(Stocks)
May 01, 1995; ... Shares of Citicorp fell Friday after the bank announced the early call of some of its preferred equity redemption cumulative stock, or Percs.Citicorp shares plunged $1.125 to $46.375 and were among the most heavily traded issues on the New York Stock Exchange.The New ...
Insurance may yet find its way into Glass-Steagall legislation.
May 02, 1995; ... With a key vote on Glass-Steagall legislation only a week away, the House Banking Committee's plans to keep insurance issues out of the bill may be in jeopardy.An aide to House Commerce Committee Chairman Thomas J. Blilely told lobbyists last Friday that the Virginia Republican has ...
MCI takes on more giants by entering credit card merchant processing field.
May 02, 1995; ... Watch out, Nabanco; MCI wants a piece of your business.Last week, the long-distance telephone power announced a major expansion of its transaction processing offerings, unveiling a complete line of services for credit card transactions.The Washington-based company thus is ...
NationsBank targets N.Y. with private banking push. (opens new office)
May 02, 1995; ... Determined to gain a foothold in the Northeast, NationsBank Corp. has quietly set up a New York office catering to the wealthy.It is the first U.S. private banking office for NationsBank, thenation's fourth-largest bank, outside its home base in the Southeast. ...
San Francisco thrift fails, first in 1995. (Continental Savings of America)(Brief Article)
May 02, 1995; ... Continental Savings of America, San Francisco, failed Friday; it was the first thrift casualty of 1995.California Federal Bank, Los Angeles, beat out 12 other bidders for Continental, picking up $359.4 million of the failed thrift's insured deposits but just $34 million of its ...
Making rules fit the bank, instead of other way around.
May 02, 1995; ... Not every bank must comply with the Community Reinvestment Act's new focus on lending, service, and investment.Regulators, recognizing that the rules might not work universally, have devised special options for small and wholesale banks. And, they've created a strategic-plan option ...
Glenfed steps up its ad attack on big bank competitors. (Glendale Federal Bank)
May 02, 1995; ... In a bid to get more checking accounts, a big California thrift has adopted a strategy that many bankers shy away from: it is directly attacking its rivals in advertising.In a campaign that started last fall and has just escalated with a new round of television ads, Glendale ...
Merger wave may inundate California's large thrifts.(Brief Article)
May 02, 1995; ... Big California thrifts may soon be the targets of a takeover wave,according to analysts who follow the market.Bolstered by a recovering economy and aggressive restructuring programs, large thrifts in the state are now solidly in the black, reversing big losses suffered ...
Bank of Commerce in San Diego profits from holding SBA loans. (Small Business Administration)(Brief Article)
May 02, 1995; ... After years of taking advantage of the secondary market for SBA loans, Bank of Commerce in San Diego has started to reap the rewards of holding them for the interest income.The bank, which is the seventh-largest lender under the Small Business Administration's 7(a) loan program, ...
Transportation Department's loan program, though expanding, doesn't get much play. (loans to certified disadvantaged companies)(Brief Article)
May 02, 1995; ... Not many people at a White House-sponsored small business conference here raised their hands when Federico Pena, secretary oftransportation, asked how many had heard of his agency's loan program.It did not come as a great surprise to Mr. Pena."We're having ...
Banks catch some flak at brainstorming session on small firms' needs.
May 02, 1995; ... Taking a cue from singer Paul Simon, small business owners from Texas, Arkansas, Oklahoma, Louisiana, and New Mexico gathered in Dallas on April 25 to come up with 50 ways to improve their business environments.And only a few - so far - involve banks.The Dallas gathering ...
Midlantic unit offers asset-allocation plan.(Brief Article)
May 02, 1995 ... The brokerage arm of Midlantic Corp., Edison, N.J., has introduced a new asset allocation investment program that combines individual advice with mutual fund investment.The unit said the Midlantic Investment Services program is meant to help investors achieve their financial goals ...
Mutual fund sales sagged in March, but optimism still reigns.
May 02, 1995; ... Sales of mutual funds in the U.S. took a slight dip in March, following two strong months that helped wiped away the stain of 1994.But some bankers and fund executives that sell their funds through banks claim they didn't feel that March lull.Instead, some report ...
Money fund assets slip 0.6%, to $654B.(Investment Company Institute reports on money market mutual funds)(Brief Article)
May 02, 1995; ... Assets of money market mutual funds slipped 0.6%, to $653.72 billion, in the week ended April 26, the Investment Company Institute reported.The decline was concentrated in funds for retail investors. Assets of these funds totaled $462.35 billion, off $4.11 billion in the week. ...
Nationar creditors could face $30 million loss, regulator says.(New York State Banking Department)(Brief Article)
May 02, 1995; ... Nationar's creditors could lose almost $30 million once the state regulator finishes selling the failed check clearing company's businesses and evaluates all claims, according to a financial report from the New York State Banking Department.As of Feb. 6, when the state-chartered ...
Nontraditional loan partnerships, initiatives by government seen among rural needs.(Brief Article)
May 02, 1995; ... Rural bank representatives recently told President Clinton that community banks need partnerships with nontraditional lenders, as well as government programs.Two bankers participated in an economic development panel, one of three at a national conference on improving rural America ...
Irwin Financial of Ind. boosts profits by 9.9%. (Irwin Financial Corp.)(In Brief)(Brief Article)
May 02, 1995 ... Irwin Financial Corp. said it earned $4.5 million in the first quarter, a 9.9% increase from the same period last year.The $693 million-asset company reported return on equity for the quarter of 22.35% and return on assets of 2.59%.Total ...
Definitive agreement in Wis. thrift buyout. (Rock Financial Corp. of Beloit, Wisconsin)(In Brief)(Brief Article)
May 02, 1995 ... First Federal Capital Corp., the parent of First Federal Savings Bank La Crosse-Madison, announced a definitive agreement to acquire Rock Financial Corp, Beloit, Wis., for $21 million.First Federal has $1.2 billion of assets, Rock Financial $129 million.The deal ...
Bancfirst Ohio's net slipped 8.6% in quarter.(In Brief)(Brief Article)
May 02, 1995 ... Bancfirst Ohio Corp., a $411 million-asset company, reported first-quarter net income of $1.2 million, down 8.6% from the same period last year.Net interest income increased 6.7%, and noninterest income grew 12.38% from last year's first quarter, but ...
Western Ohio Financial posts 7% dip in earnings.(In Brief)(Brief Article)
May 02, 1995 ... Western Ohio Financial Corp., which owns Springfield Federal Savings Bank, said its first-quarter earnings declined 7%, to $641,000, from the same period last year.But the results were 8% better than in the preceding quarter because of expanded lending operations and the sale of ...
Like it or not, 'rightsizing' really is the right word.(Weekly Adviser)(Column)
May 02, 1995; ... There's a new trend in our industry: calling cutbacks "rightsizing"instead of the immediately preceding buzzword, "downsizing."To the people who have lost their jobs, this switch has sad implications. It suggests that when they were employed, the bank was bloated - and ...
Financial woes make Big Apple no picnic for mortgage lenders. (New York City)(Brief Article)
May 02, 1995; ... New York is a tough town, and for lenders the metropolitan area'shousing market is one of the toughest in the country.The metropolitan area's economy has been jolted by heavy layoffs on Wall Street and a proposed budget for New York City that includes $1.1 billion in ...
Rush to lower quality may be costly choice. (implications of mortgage banks' lending to those with impaired credit)(Pipeline)(Brief Article)
May 02, 1995; ... The mortgage industry is facing two hard questions:Will the present flight from quality mean disaster down the road?Mortgage lenders, eager to build volume and profits, are plunging into lending to people with impaired credit. They are also eagerly making home equity ...