M&T Bank Headquarters, Buffalo
M&T Bank is an American commercial bank that was founded in 1856 in western New York, and today remains headquartered in Buffalo at One M & T Plaza. The parent company, M&T Bank Corporation, had $69 billion in assets as of December 31, 2009, and is one of the twenty largest commercial bank holding companies in the U.S., with over 750 branches located in New York, Maryland, Pennsylvania, Virginia, Washington, D.C., West Virginia, Delaware, New Jersey, and Central Florida.
The name M&T is an abbreviation of Manufacturers and Traders Trust Company. The bank owns the original Buffalo Savings Bank (later Goldome, now defunct) building in Fountain Plaza, also located in downtown Buffalo.
In 2003, M&T Bank acquired Allfirst Bank of Baltimore, a subsidiary of Allied Irish Banks (NYSE: AIB). Allfirst was acquired by M&T after the John Rusnak currency trading scandal produced a loss of $691 million that was discovered in early 2002. The Allfirst acquisition was M&T's largest, both in terms of assets acquired and as a percentage of M&T's prior asset size.
Allfirst formed after AIB bought Dauphin Deposit Corp. in Harrisburg, Pennsylvania, and merged it with its First Maryland Bank and The York Bank. At the direction of Irish regulators, AIB divested of its 22.% ownership of M&T in the autumn of 2010. Warren Buffett's Berkshire Hathaway currently owns 5.66% of M&T's shares. M&T Bank is the sponsor of the M&T Bank Stadium, the current home of the Baltimore Ravens.
During portions of 2010, it was reported that M&T Bank was in merger discussions with Grupo Santander (which owns Sovereign Bank).[1]
Acquisition history
M&T Bank completed 20 acquisitions from 1987 to 2009. Below is a synopsis of its M&T transactions since 2006.
M&T Bank completed the acquisition of 21 Citibank branches in Buffalo and Rochester on July 1, 2006. The branches, employees, and accounts held at those branches all joined M&T Bank.[2] In 1998 M&T Bank acquired the assets of OnBank in Syracuse, NY. In July 2007, M&T Bank announced plans to acquire Partners Trust Financial Group, which included 33 branches in Upstate New York. M&T Bank completed the acquisition on November 30, 2007. One month later in December 2007, M&T completed the purchase of 12 First Horizon National Corporation branches in the greater Washington D.C. and Baltimore markets.
In December 2008, M&T Bank announced its intention to purchase Baltimore-based Provident Bank. The acquisition was fully completed in May 2009.[3]
On August 28, 2009, the Federal Deposit Insurance Corporation (FDIC) seized Bradford Bank, and sold all its deposits and most assets to M&T.[4] M&T and the FDIC agreed to share future losses on $338 million worth of Bradford's assets.[5]
On November 1, 2010, M&T Bank Corp. announced the acquisition of Wilmington Trust for $351 million in a stock-for-stock transaction which is scheduled to close in mid-2011.[6]
Financial performance
M&T Bank has been profitable every quarter going back to the late 1970s. In the recent financial crisis of 2008 and 2009, M&T was one of only two banks in the S&P 500 that didn't lower its dividend.[citation needed]
M&T ranked 496th on the Fortune 500 company list in 2007. In 2009, M&T fell to number 535 on the same list, but continues as one of the companies that comprises the S&P 500 stock index.
As of January, 2012, M&T owed $381.5 million to the US government Troubled Asset Relief Program.[7]
References
- ^ Das, Anupreeta; Chon, Gina; Rieker, Matthias (September 27, 2010). "Santander, M&T Talks Off Again". The Wall Street Journal. http://online.wsj.com/article/SB10001424052748704082104575516672792665424.html.
- ^ Appelbaum, Binyamin (December 20, 2008). "M&T Agrees to Buy Provident Bank". The Washington Post. http://www.washingtonpost.com/wp-dyn/content/article/2008/12/19/AR2008121901016.html?hpid=sec-business. Retrieved May 12, 2010.
- ^ "M&T Acquisition History". M&T Bank. http://ir.mandtbank.com/acquisitions.cfm. Retrieved September 5, 2010.
- ^ "Md. thrift seized". The Baltimore Sun. 2009-08-29. http://www.baltimoresun.com/business/bal-bz.bradford29aug29,0,1359083.story. Retrieved 2009-08-29.
- ^ "Feds seize Bradford Bank; M&T to buy assets". The Business Review. 2009-08-29. http://www.bizjournals.com/albany/stories/2009/08/24/daily63.html. Retrieved 2009-08-20. [dead link]
- ^ "M&T acquires Delaware bank for $351 million". Latest acquisition. Rochester Business Journal. http://www.rbj.net/article.asp?aID=185586. Retrieved 2 November 2010.
- ^ Gordon, Marcy, "Report: Taxpayers still owed $133B from bailout", Associated Press via Atlanta Journal-Constitution, January 26, 2012. Retrieved 2012-01-26.
External links
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* indicates the U.S. subsidiary of a non-U.S. bank. Inclusion on this list is based on U.S. assets only.
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