Article: Capital One To Buy Local Banking Icon Chevy Chase

Capital One, a leading credit card company, plans to announce today that it will buy Chevy Chase Bank, a landmark Washington financial firm with branches throughout the region, according to sources familiar with the matter.

The deal would be another sign of how the financial crisis is fueling consolidation in the banking industry. Capital One, which would pay $520 million in cash and stock, has received a $3.56 billion investment from the Treasury Department as part of the government's effort to stabilize the banking industry.

Sources said the deal should not have any immediate effect on Chevy Chase depositors or borrowers, and that no layoffs are currently planned. Chevy Chase, which faced ...

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