Has anyone noticed the gap between the Suntrust
territory and Crestar's territory? I see only 2 choices to
bridge the gap. Wachovia or BB&T unless they try to fill
in with a lot of smaller mergers. A merger with
Wachovia would give significant overlap in Georgia and
Virginia whereas BB&T would only overlap to a lesser
extent in Virginia. Any thoughts?
let me start a rumor. A major inter-galactical
bank from mars is poised to make a run on a mid-cap
North Carolina Bank. Purchase price will be about 110
martians. Good Luck!
(P.S.) The stock is spliting
two for one monday. Does this give you any
CAFC was added to the S&P Smallcap 600 generating some
Remember, these folks have a stock repurchase
plan in place and why not buy when it makes sense.
Also, like most corporations nowadays, they have 401K
plans and I assume they buy stock for that as well.
300,000 shares is pretty good volume, but it dosn't sound
like buyout volume. But what do I
Anybody else? P.S. Raleigh newspaper sez they will buy
FV. Now isn't that news! I'll believe it when I see
Doc- I, like you, am very uncomfortable with the
CEOs and their reasoning for selling out. It is most
certainly greed. However, I think it is only fair to point
out that there is tremendous pressure on these guys
to maximize shareholder returns (while enriching
themselves). When, not if, the speculative bubble burstd,
share prices will fall to historically normal levels.
How happy are shareholders going to be with Mr. CEO
when the opportunity is no longer there to cash out?
Its a tough job, not that I'd mind doing it for a
couple of years so I could cash out and get juiced.
Not bad for someone who is guilty!
These bank mergers, I believe, are gonna get themselves
in big trouble shortly.
In Virginia, we got
all sorts of small banks starting to pop up all over
the place. I have stated it before, and got hammered
by the wachovia lurkers on this thread. But these
banks have come to virginia and have really PISSED off
a lot of people, and the customers are just plain
sick of it.
I know a lot of people had moved to
Crestar cause at least it was hometown bank, and they did
not have a bunch of strange banking rules (even BBT
does, forbid you use your atm card at another bank -
SLAP! major transaction charge).
out on their customers and their shareholders. i
believe their still is a niche for banks like crestar and
BBT. I believe they can make GREAT money and returns
while servicing their customers. But instead, the big
boys get paranoid cause the big guy just moved into
town. They think they can't compete, and then its time
to sell the farm. What a crock.
Hold firm. Don't be afraid. Keep growing as you have,
provide high level of service to your customers, and the
returns will come. One last thing: Your duty goes beyond
shareholders, don't forget the employees, the community, and
the customers you serve.
At my age, its ok to
You know Doc, I kind of feel the same way. And
Sun Trust goes ahead and pays 31% premium above
market place to basically acquire Crestar stocks and not
control, since Crestar will keep its identity and mgmnt.
Granted that FU and WB received a lot of criticism in
their VA, I thought -and the mkt too - that STI showed
a very weak approach.
Anyway, the funny
thing is that the second biggest shareholder at
STI(after good ol' Jimmy Williams) is now Alfred Smith,
former CEO of Citizens Bancorp, a small bank acquired by
Crestar in 1996. If he decides to convert his stock to
STI he would have 1.15 million shares and probably
keep his job too. Not bad!
I know, this is the
BBK msg. board: I apologize for going on a completely
different tangent, it's just one of those days ....
You know what kills me?
the press yesterday that they had to sell out. They
could not make loans fast enough, and therefore, there
ROE was dropping precipitously. Thats
They sold out of greed. Lets be honest.
still say though, they got a pump up of $10 a share. If
they had held fast, crestars stock would have gone up
$10 over the year and continued growing. I don't buy
this "gotta sell stuff."