July 31st, 2011, 03:24 PM #1
HSBC to Sell 195 NY Bank Branches for $1 Billion
By THE ASSOCIATED PRESS
Published: July 31, 2011 at 4:54 PM ET
NEW YORK (AP) — HSBC said Sunday it will sell 195 retail bank branches, most located in upstate New York, to First Niagara Bank in a deal worth about $1 billion.
The banks represent about $15 billion in deposits. The sale is part of HSBC Holdings PLC's strategy, presented to investors in May, to shift its focus away from retail banking to commercial and corporate banking. The companies expect the transaction to be completed early next year, according to statements from both. First Niagara Financial Group Inc., based in Buffalo, N.Y., said it expects to retain the 1,900 workers currently employed by the affected banks. Also included in the sale are six HSBC branches in Westchester County and southern Connecticut.
It has started. HSBC selling off it's holdings in the USA. Next... credit cards where Capital One, Wells Fargo Bank NA and Barclays are said to be interested as of July 15, 2011.
Last edited by Wanderer; August 10th, 2011 at 06:14 AM. Reason: Supp info
August 1st, 2011, 12:55 AM #2
It's huge news... They are also laying off 3% of their workforce (about 10,000 people).
August 3rd, 2011, 11:19 AM #3
Make that 30,000 jobs by 2013... Mostly in Europe and the US. I wouldn't feel to good if I was jobless in the banking sector.
August 10th, 2011, 04:26 AM #4
The waiting is over... Capital One took the HSBC USA Credit Card portfolio.
BY MATTHIAS RIEKER
NEW YORK—Capital One Financial Corp. said it would buy the U.S. credit-card business of HSBC Holdings PLC for a premium of about $2.6 billion.
Capital One said it may raise up to $1.25 billion in equity to maintain an about 9.5% Tier 1 capital ratio at the close of the deal, which will help the McLean, Va., bank to expand its lending at a time when consumers remain reluctant to take out new loans. For HSBC, based in London, the sale would be yet another step to rid itself of businesses that no longer fit with its narrower banking focus...
This was in the Wall Street Journal Wednesday, August 10, 2011 at 5:34 EDT. It is official now. Capital One is a big player in banking. As a follower of HSBC, I think the truth about profitability is they didn't know what they were doing and got in trouble. Note, they have a brand new CEO... need I say more. Then, they are sheading 30,000 jobs... that is our fault in the USA? I doubt it...! Now for all the people who have NOT been happy about HSBC credit lines... remember Capital One is NOT any better!
Last edited by Wanderer; August 10th, 2011 at 06:16 AM. Reason: Update
August 10th, 2011, 09:01 AM #5
What do you think that is going to mean to those (myself included) that have Orchard Bank credit cards?
August 10th, 2011, 09:52 AM #6
August 10th, 2011, 02:22 PM #7
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