FIRST UNION CORP. ACQUIRES FIRST AMERICAN METRO CORP.
CHARLOTTE, N.C., June 23 /PRNewswire/ -- First Union Corp. (NYSE: FTU FTUpr) today acquired McLean, Va.-based First American Metro Corp., making First Union the nation's eighth largest bank holding company with assets of approximately $71 billion. First Union paid approximately $453 million in cash -- about 124 percent of First American Metro's book value as of Dec. 31, 1992 -- to First American Bankshares, Inc., the holding company that owned First American Metro. The two companies first announced the planned agreement Feb. 26. Existing First American customers will experience a smooth, seamless transition following today's acquisition. No action is required on the part of customers. First Union will continue to honor First American checks, credit cards and 24-hour banking machine cards until First Union issues new ones. First Union will spend the next five months merging First American's computer and deposit systems into First Union's existing systems. In December, First Union will erect new signs to replace First American signs at all branches and corporate offices. First Union acquired First American's $4.6 billion in assets, $4 billion in deposits, and 174 bank branches located in two states and Washington, D.C. (Virginia: $2.4 billion in assets, $2.1 billion in deposits, 100 branches; Maryland: $1 billion in assets, $900 million in deposits, 44 branches; Washington, D.C.: $1.2 billion in assets, $1 billion in deposits, 30 branches.) In Virginia, the acquisition increases First Union's total deposits to $7.9 billion (third place in deposit market share) and number of branches to 299. In Maryland, the acquisition increases First Union's total deposits to $1.2 billion (ninth place in deposit market share) and number of branches to 43. In Washington, D.C. (city only), the acquisition increases First Union's total deposits to $1.2 billion (third place in deposit market share) and number of branches to 41. In the greater Washington, D.C. metropolitan area, which includes the city of Washington and surrounding suburban areas in Virginia and Maryland, the acquisition increases First Union's total deposits to $5 billion (second place in deposit market share) and number of branches to 188. Following today's acquisition, First Union now operates approximately 1,300 banking offices in Washington, D.C. and seven states -- Virginia, Maryland, North Carolina, South Carolina, Tennessee, Georgia and Florida. In addition, First Union operates 238 nonbanking offices (primarily mortgage lending and home equity offices) in 36 states and Washington, D.C. -0- 6/23/93 /CONTACT: David Scanzoni of First Union Corporation, 704-383-7742/ (FTU)
CO: First Union Corporation; First American Metro Corp. ST: North Carolina, Virginia, District of Columbia, Maryland IN: FIN SU: TNM
SB -- CH005 -- 5189 06/23/93 17:18 EDT
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|Date:||Jun 23, 1993|
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