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Summarized by Janus Wilkinson
Purchase of Mormon Bank Gets Final Approval
SALT LAKE CITY, UTAH -- On Tuesday, the Federal Reserve Board
approved Wells Fargo &Co.'s purchase of Salt Lake City-based First
Security Corp. The board voted 5-0 in favor of the acquisition, which
will make San Francisco-based Wells Fargo Utah's largest banking
company.
In September, the U.S. Justice Department said it, too, will allow
the deal to go through if Wells Fargo sells four of its branches and
35 First Security branches. The branches to be closed are in areas
that the Justice Department deemed the banking market would not
remain competitive if Wells Fargo were able to keep the branches
after its acquisition of First Security is complete.
Spencer Eccles, First Security chairman and chief executive, agreed
to sell the bank to Wells Fargo in early April, three days after
Zions Bancorporation shareholders rejected a deal to acquire First
Security. (Just a side-note here for you: First Security was founded by the ancestor of the current CEO, Spencer Eccles. David
Eccles was a Mormon pioneer from England. Zions Bancorp used to
be owned by the LDS Church, and is now run by LDS Church member
Harris Simmons.)
Source:
Fed OKs Purchase Of First Security By Wells Fargo
Salt Lake Tribune 11Oct00 B2
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