U.S. Bancorp Completes Acquisition of Union Bank
December 01 2022 - 8:50AM
Business Wire
U.S. Bancorp (NYSE: USB) today announced that it has completed
the acquisition of MUFG Union Bank’s core regional banking
franchise from Mitsubishi UFJ Financial Group, Inc. (NYSE: MUFG).
The transaction brings together two premier organizations to serve
customers and communities across California, Washington, and Oregon
and support a dedicated workforce across the West Coast. Customers
will benefit from an expanded branch network, greater access to
digital banking tools, and increased choice.
“The acquisition of MUFG Union Bank underscores U.S. Bank’s
commitment to creating economic opportunities for our customers and
communities across the West Coast,” said Andy Cecere, chairman,
president and chief executive officer of U.S. Bancorp. “The closing
of this acquisition brings together two premier organizations and
their teams who are focused on putting customers first.”
U.S. Bank will provide MUFG Union Bank customers with
information regarding the conversion of their accounts in the
coming weeks. Until conversion of MUFG Union Bank systems and
accounts, customers will continue to be served by their respective
branches, website and mobile apps. Systems integration and account
conversion is expected to occur in the first half of 2023.
Additionally, once customer conversion has occurred,
implementation of U.S. Bank’s five-year, $100 billion community
benefits plan will begin.
About U.S. Bank
U.S. Bancorp, with approximately 70,000 employees and $601
billion in assets as of September 30, 2022, is the parent company
of U.S. Bank National Association. The Minneapolis-based company
serves millions of customers locally, nationally and globally
through a diversified mix of businesses: Consumer and Business
Banking; Payment Services; Corporate & Commercial Banking; and
Wealth Management and Investment Services. The company has been
recognized for its approach to digital innovation, social
responsibility, and customer service, including being named one of
the 2022 World’s Most Ethical Companies and Fortune’s most admired
superregional bank. Learn more at usbank.com/about.
“Safe Harbor” Statement under the Private Securities Litigation
Reform Act of 1995:
This press release contains forward-looking statements about
U.S. Bancorp. Statements that are not historical or current facts,
including statements about beliefs and expectations, are
forward-looking statements and are based on the information
available to, and assumptions and estimates made by, management as
of the date hereof. These forward-looking statements cover, among
other things, anticipated future revenue and expenses and the
future plans and prospects of U.S. Bancorp. Forward-looking
statements often use words such as “anticipates,” “targets,”
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“intends,” “plans,” “goals,” “believes,” “continue” and other
similar expressions or future or conditional verbs such as “will,”
“may,” “might,” “should,” “would” and “could.”
Forward-looking statements involve inherent risks and
uncertainties, including the following risks and uncertainties and
the risks and uncertainties more fully discussed in the section
entitled “Risk Factors” of Exhibit 13 to U.S. Bancorp’s Annual
Report on Form 10-K for the year ended December 31, 2021, which
could cause actual results to differ materially from those
anticipated. Deterioration in general business and economic
conditions or turbulence in domestic or global financial markets
could adversely affect U.S. Bancorp’s revenues and the values of
its assets and liabilities, reduce the availability of funding to
certain financial institutions, lead to a tightening of credit, and
increase stock price volatility. In addition, changes to statutes,
regulations, or regulatory policies or practices could affect U.S.
Bancorp in substantial and unpredictable ways. U.S. Bancorp’s
results could also be adversely affected by changes in interest
rates; the impacts of the COVID-19 pandemic on its business,
financial position, results of operations, liquidity and prospects;
increases in unemployment rates; deterioration in the credit
quality of its loan portfolios or in the value of the collateral
securing those loans; deterioration in the value of its investment
securities; legal and regulatory developments; litigation;
increased competition from both banks and non-banks; civil unrest;
the effects of climate change; changes in customer behavior and
preferences; breaches in data security, including as a result of
work-from-home arrangements; failures to safeguard personal
information; the impacts of international hostilities or
geopolitical events; impacts of supply chain disruptions and rising
inflation; effects of mergers and acquisitions and related
integration; effects of critical accounting policies and judgments;
and management’s ability to effectively manage credit risk, market
risk, operational risk, compliance risk, strategic risk, interest
rate risk, liquidity risk and reputation risk. In addition, U.S.
Bancorp’s acquisition of MUFG Union Bank presents risks and
uncertainties, including, among others: the risk that the cost
savings, any revenue synergies and other anticipated benefits of
the acquisition may not be realized or may take longer than
anticipated to be realized; the possibility that the combination of
MUFG Union Bank with U.S. Bancorp, including the integration of
MUFG Union Bank, may be more costly or difficult to complete than
anticipated or have unanticipated adverse results; and there can be
no assurance that the community benefits plan will achieve the
results or outcome expected or anticipated by U.S. Bancorp.
For discussion of these and other risks that may cause actual
results to differ from those described in forward-looking
statements, refer to U.S. Bancorp’s Annual Report on Form 10-K for
the year ended December 31, 2021, on file with the Securities and
Exchange Commission, including the sections entitled “Corporate
Risk Profile” and “Risk Factors” contained in Exhibit 13, and all
subsequent filings with the Securities and Exchange Commission
under Sections 13(a), 13(c), 14 or 15(d) of the Securities Exchange
Act of 1934. In addition, factors other than these risks also could
adversely affect U.S. Bancorp’s results, and the reader should not
consider these risks to be a complete set of all potential risks or
uncertainties. Readers are cautioned not to place undue reliance on
any forward-looking statements. Forward-looking statements speak
only as of the date hereof, and U.S. Bancorp undertakes no
obligation to update them in light of new information or future
events.
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version on businesswire.com: https://www.businesswire.com/news/home/20221201005646/en/
Investor contact: George Andersen, U.S. Bancorp Investor
Relations george.andersen@usbank.com, 612.303.3620
Media contact: Jeff Shelman, U.S. Bancorp Public Affairs and
Communications Jeffrey.shelman@usbank.com, 612.303.9933,
@usbank_news
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