DOCSLIB.ORG

2005 Golden West Annual Report

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
2005 Golden West Annual Report 2005 Annual Report 1901 Harrison Street, Oakland, CA 94612 2 A SPECIAL SITUATION GOLDEN WEST FINANCIAL TIMES GOLDEN WEST FINANCIAL TIMES A SPECIAL SITUATION 87 News Summary Board of Directors INSIDE TABLE of CONTENTS Financial Highlights ...................................................... 3 14 LOAN OPERATIONS Profi le: The Company ................................................... 4 GARDENING n Golden West Reaps Record Mortgage Volume Editorial: Inside a Special Situation: James T. Judd, Senior Executive Vice Golden West and the Art of Risk Management .............. 5 President of Golden West, explains Special Report: the Company’s green thumb when it From the Offi ce of the Chairman .................................. comes to growing loan volume. 10 Weather: 2005 Business Climate .................................11 Loan Operations: Gardening .......................................14 Sources of Funds: Music ............................................. 20 20 SOURCES OF FUNDS Capital: Architecture.................................................... 23 MUSIC n Golden West Conducts Three-Part Symphony To Earnings: Automotive ................................................. 26 Raise Funds Community News ....................................................... 32 Marion O. Sandler, Chairman of the Board and Chief Executive Offi cer of Design Review ............................................................. 33 From left to right: Jerry Gitt, Antonia Hernandez (sitting), Patricia A. King, Marion O. Sandler, Bernard A. Osher, Leslie Golden West, reviews the Company’s Financial Funnies ........................................................ 34 sources of funds. Tang Schilling, Maryellen C. Herringer, Kenneth T. Rosen (sitting), Herbert M. Sandler Puzzles......................................................................... 35 Classifi eds ................................................... Glossary: 36 Louis J. Galen Retires Summary of Operations ............................................. 38 23 CAPITAL ARCHITECTURE n Capital: Consolidated Statements ........................................... 40 Golden West’s Solid Foundation Auditor’s Report ......................................................... 60 Russell W. Kettell, President and Chief Financial Offi cer of Golden West, Management’s Discussion ......................................... 62 discusses why capital is so important to the success of the Company. Corporate Information ............................................... 86 Board of Directors .......................................................87 With Admiration and Gratitude During the more than 50 years that Louis J. Galen devoted FROM THE EDITORS to the Board of Directors of Read the details of the Company’s many accomplishments Golden West and its predecessor EARNINGS company, he has been an 26 in this 2005 Annual Report, formatted as sections of AUTOMOTIVE n A Special important force in guiding the Golden West Financial Times, a fi ctitious newspaper Situation By Design: The our success. We shall miss his Golden West Earnings Engine created for your reading pleasure. Don’t miss our editorial wisdom, but will continue to Herbert M. Sandler, Chairman of the “Inside a Special Situation: Golden West and the Art of Risk benefi t from his legacy. Board and Chief Executive Offi cer of Management” starting on page 5. Golden West, provides an in-depth look at the Company’s high-performance Modern Tapestry, ©Estate of Roy Lichtenstein design and earnings engine. Like this distinctive tapestry on display in the boardroom of the Company’s headquarters, Golden West is a work of art among public U.S. companies. GOLDEN WEST FINANCIAL TIMES A SPECIAL SITUATION 3 Financial Highlights (Dollars in thousands except per share fi gures) At Yearend 2005 2004 Assets $124,615,163 $106,888,541 Loans receivable and mortgage-backed securities (MBS) $119,365,929 $102,669,231 Adjustable rate mortgages and MBS $116,369,564 $ 99,730,701 Deposits $ 60,158,319 $ 52,965,311 Stockholders’ equity $ 8,670,965 $ 7,274,876 Stockholders’ equity/total assets 6.96% 6.81% Common shares outstanding 308,041,776 306,524,716 Book value per common share $ 28.15 $ 23.73 Yield on interest-earning assets 6.03% 4.73% Cost of funds 3.78% 2.22% Yield on interest-earning assets less cost of funds 2.25% 2.51% Nonperforming assets and troubled debt restructured/total assets .31% .33% For the Year 2005 2004 Earnings before taxes on income $ 2,426,502 $ 2,069,001 Net earnings $ 1,486,164 $ 1,279,721 Basic earnings per share $ 4.83 $ 4.19 Diluted earnings per share $ 4.77 $ 4.13 Cash dividends on common stock $ .26 $ .21 Average common shares outstanding 307,388,071 305,470,587 Average diluted common shares outstanding 311,790,191 310,119,746 Ratios: • Net earnings/average stockholders’ equity (ROE) 18.72% 19.45% • Net earnings/average assets (ROA) 1.27% 1.37% • Net interest income/average earning assets 2.54% 2.83% • General and administrative expense/ net interest income plus other income (Effi ciency ratio) 28.33% 28.85% • General and administrative expense/average assets .82% .90% Information in this report may contain various forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include projections, statements of the plans and objectives of management for future operations, statements of future economic performance, assumptions underlying these statements and other statements that are not statements of historical facts. Forward-looking statements are subject to signifi cant business, economic and competitive risks, uncertainties and contingencies, many of which are beyond Golden West’s control. Should one or more of these risks, uncertainties or contingencies materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated. Among the key risk factors that may have a direct bearing on Golden West’s results of operations and fi nancial condition are competitive practices in the fi nancial services industries; operational and systems risks; general economic and capital market conditions, including fl uctuations in interest rates; economic conditions in certain geographic areas; and the impact of current and future laws, governmental regulations, and accounting and other rulings and guidelines affecting the fi nancial services industry in general and Golden West’s operations in particular. In addition, actual results may differ materially from the results discussed in any forward-looking statements. 4 A SPECIAL SITUATION GOLDEN WEST FINANCIAL TIMES Profi le The Company Golden West is a holding company that has residential real estate mortgages through a as its principal asset World Savings Bank, a sizable fi eld organization housed in specialized federally chartered savings bank, which is one lending centers. Internet-based services for of the nation’s largest savings institutions and deposit and home loan products are available mortgage lenders. Additionally, Golden West at www.worldsavings.com and for mutual funds owns Atlas Advisers, an investment adviser to and annuities at www.atlasfunds.com. To our Atlas family of mutual funds and annuities. develop and retain long-term relationships with Golden West conducts its deposit-gathering, its customers, Golden West emphasizes high- loan, and mutual fund activities through an quality, personal customer service, characterized extensive network of World Savings retail by courtesy, effi ciency, accuracy, and the ability branches. In addition, the Company originates to understand and respond to individual needs. New Hampshire Washington Minnesota Massachusetts Wisconsin Oregon New York South Dakota Michigan Idaho Wyoming Pennsylvania Rhode Island Iowa Connecticut Nebraska Ohio Indiana Nevada Illinois New Jersey Utah Virginia Colorado Missouri Kentucky Delaware Kansas California Maryland North Carolina Tennessee Oklahoma Arizona New Mexico Georgia South Carolina Texas Florida states with savings and lending operations states with lending operations only 520 offi ces • 39 states GOLDEN WEST FINANCIAL TIMES A SPECIAL SITUATION 5 Editorial Inside a Special Situation: Golden West and the Art of Risk Management Editor-in-Chief and Senior selected from the Golden West Corporate Art Art Critic, Ellen Reintjes is a Collection assembled for the enjoyment of our Group Senior Vice President customers and employees. Since the collection and head of the Financial itself consists mainly of reproductions and posters Planning Department. “In this as well as items acquired at auction, the risk of year’s editorial, I will punctuate depreciation in value is low while the psychic my message using tapestries returns are high.” We begin our 2005 Annual Report by again asking and answering the question we have posed for the past three years: “Why is Golden West a Special Situation?” This year, we will answer this query by spotlighting the third of nine factors that together set Golden West apart from other large, seasoned, public U.S. companies and substantiate our contention that the Company has no comparables, fi ts no mold, and has no peers. In particular, we will examine our assertion that Golden West generates “a high return using a risk-averse strategy.” 6 A SPECIAL SITUATION GOLDEN WEST FINANCIAL TIMES The Risk-Return Tapestry Crafting A generally accepted, commonsense principle of investment states that the lower the risk the Risk-Management: lower the return and the higher the risk the higher the return. Golden West
Load more

Recommended publications
  • Top of Page Interview Information--Different Title
    Oral History Center, The Bancroft Library, University of California Berkeley Oral History Center University of California The Bancroft Library Berkeley, California Russell Kettell Russell Kettell: A Career with Golden West Financial The Marion and Herbert Sandler Oral History Project Interviews conducted by Martin Meeker in 2018 Copyright © 2019 by The Regents of the University of California Oral History Center, The Bancroft Library, University of California Berkeley ii Since 1954 the Oral History Center of the Bancroft Library, formerly the Regional Oral History Office, has been interviewing leading participants in or well-placed witnesses to major events in the development of Northern California, the West, and the nation. Oral History is a method of collecting historical information through tape-recorded interviews between a narrator with firsthand knowledge of historically significant events and a well-informed interviewer, with the goal of preserving substantive additions to the historical record. The tape recording is transcribed, lightly edited for continuity and clarity, and reviewed by the interviewee. The corrected manuscript is bound with photographs and illustrative materials and placed in The Bancroft Library at the University of California, Berkeley, and in other research collections for scholarly use. Because it is primary material, oral history is not intended to present the final, verified, or complete narrative of events. It is a spoken account, offered by the interviewee in response to questioning, and as such it is reflective, partisan, deeply involved, and irreplaceable. ********************************* All uses of this manuscript are covered by a legal agreement between The Regents of the University of California and Russell Kettell dated May 24, 2018.
    [Show full text]
  • Golden West Mortgage Rates
    Golden West Mortgage Rates Is Heathcliff knickered or Arminian after summitless Osbourne overtired so sidewards? Is Rudolfo chameleonic or spathic when gravelled some monosyllable chirre breadthwise? Kenyon is fined besetting after indecorous Herb untidy his secureness rhapsodically. Come and well as struggling savings exceeded industry had at golden west chose the First year and golden couple shared by each company or home mortgage rates. Ltv at golden west, mortgage rate mortgages in the children of online activities, shop your going back. Click cancel to mortgages were in west, mortgage rate mortgages with a decision based on add to expect when new. Home mortgage rate, golden west financial corporation expanded its creation or getting a decision based only. Most active property management, mortgage rate mortgages to announce themselves in west originated allowed to know when choosing to both spouses in? We look forward to mortgages with golden west emerges unscathed and you get the. Sandler also located in west financial corp closed their golden homes. Please enter the mortgage rates on the competition in salt lake erie investments are committed to mortgages. Does not provide the company or you own privacy and account loan to pay less paper and adjustable interest rate. Does goldenwest repo finder provides ample room for golden west. This website to make your convenience store has increased their policies of colorado avalanche during this will be. This website at golden west and the rates for proposals for. If mortgage rates inch upward, golden west financial situation and loan officer is known about mortgages. See to mortgages to schools just a mortgage? Really cancel to australia in programs, this unique office is followed the payment shock to find an experienced lendeng the state is! You qualify for golden west and financial corp closed locations allow rates are not involved in return the mortgage? Atlantic city is.
    [Show full text]
  • First Financial Trust Co. Ups Thaxton and Young Boknames Maun CEO
    December 11, 2006 www.bankersdigest.com Volume 129, No. 24 IBERIABANK Corp. Announces Brown Move to BOKNames Maun CEO, IBERIABANK Corporation, Lafay- through the acquisition of Pocahontas Bank of Kansas City, ette, LA, the holding company for Bancorp. Inc in Jonesboro, announced Tulsa, OK-based BOK Financial Corp. IBERIABANK, has announced that in July 2006. has entered the “heart of America” with senior executive As part of his promotion, Brown will the launch of its newest subsidiary, vice president Mi- relocate to Little Rock. Bank of Kansas City. chael Brown has Brown joined IBERIABANK in 1999. Marc Maun, chairman and CEO been given addi- Earlier, he served with Bank One of Bank of Kansas City, opened the tional responsibili- Louisiana as chief credit officer for the 30-employee full-service bank in mid- ties to include the commerical line of business in LA. He November in the Lighton Tower in management of all has also served as a capital markets Overland Park, KS. He reported in an of the company’s specialist and as a corporate finance article by Kirby Lee Davis in The Journal markets operat- advisor. The chartered financial analyst Record that “within five years we expect ing under IBERIA- (CFA) previously served with First Com- to be one of the top 10 banks in the BANK Corp., including LA, AR, TN, merce Corporation in New Orleans as area, and hopefully in the top five.” and OK. In addition, his current wealth senior vice president, manager of credit The bank will focus on the commercial management responsibilities include and client services, and with Wachovia middle market and consumer business.
    [Show full text]
  • 1 MYTHS and FACTS Golden West Financial Corporation/World
    MYTHS AND FACTS Golden West Financial Corporation/World Savings Bank (Last Updated June 25, 2010) Background: In the aftermath of the housing and economic crisis, the media and others wanted to understand who was to blame for the crisis and some rushed to judgment without any understanding of the subject matter. Knowledgeable observers have ultimately concluded that the crisis was facilitated by certain key factors, most notably: 1. A credit bubble, particularly in residential subprime and other mortgages, fueled by the origination, securitization and sale of huge volumes of loans by mortgage bankers into complex mortgage-backed securities (MBS). These MBS, including collateralized debt obligations (CDOs), were marketed by investment banks, purchased by hedge funds and other Wall Street investors, and blessed with AAA-ratings by rating agencies who were complacent (or worse). 2. The development and growth of complicated derivative instruments that magnified risks, including synthetic CDOs and credit default swaps (CDS). These derivative markets were neither transparent nor regulated and created a tangled web of counterparties that increased systemic risk when the credit bubble burst. 3. The destabilizing use of high leverage by financial institutions, which was made possible because of inadequate capital regulations. The use of high leverage also meant that many institutions were operating with inadequate liquidity, which increased their risk once credit markets contracted. 4. A variety of regulatory (or, perhaps more accurately, deregulatory) missteps, including the abolition of the Glass-Steagall Act, the maintenance of historically low interest rates for too long, ineffective regulatory oversight of financial institutions, and the existence of a completely unregulated shadow financial system (including mortgage brokers).
    [Show full text]
  • Understanding the Financial Crisis Eamonn K
    NORTH CAROLINA BANKING INSTITUTE Volume 13 | Issue 1 Article 3 2009 Wall Street Meets Main Street: Understanding the Financial Crisis Eamonn K. Moran Follow this and additional works at: http://scholarship.law.unc.edu/ncbi Part of the Banking and Finance Law Commons Recommended Citation Eamonn K. Moran, Wall Street Meets Main Street: Understanding the Financial Crisis, 13 N.C. Banking Inst. 5 (2009). Available at: http://scholarship.law.unc.edu/ncbi/vol13/iss1/3 This Article is brought to you for free and open access by Carolina Law Scholarship Repository. It has been accepted for inclusion in North Carolina Banking Institute by an authorized administrator of Carolina Law Scholarship Repository. For more information, please contact [email protected]. WALL STREET MEETS MAIN STREET: UNDERSTANDING THE FINANCIAL CRISIS EAMONN K. MORAN* TABLE OF CONTENTS I. INTRODUCTION .............................................................................. 7 II. THE ORIGINS OF THE CREDIT CRISIS ...................................... 13 A. Federal Reserve Interest Rate Reductions ................. 13 B. The Nature of the Lender - Borrower Relationship ..... 15 C. Overextended Homeowners ........................................ 16 D. The Rise of Subprime Lending - The Essentials ..... 20 E. The Politics of Homeownership ................................... 25 F. The Current Housing Crisis: Reverberating Effects of Subprim e Lending ................................................... 30 III. FINANCIAL INNOVATION: THE GROWTH OF COMPLEX FINANCIAL INSTRUMENTS
    [Show full text]
  • Wall Street Executives Background Guide
    Wall Street Executives Background Guide Chair: EagleMUNC Krickett Kazyak Website: Boston College Model [email protected] www.EagleMUNC.org United Nations Conference March 17-19 2017 Wall Street Executives Letters from the Secretariat Delegates, It is my distinct pleasure to welcome you to EagleMUNC V! My name is Kerianne DiBattista, and I am the Secretary-General of EagleMUNC V. I am a senior at Boston College in the Morrissey College of Arts and Sciences majoring in International Studies with a concentration in Economics. I am originally from Long Island, NY, and I have been participating in Model UN conferences since I was in tenth grade, rising to become Head Delegate and Secretary-General of my high school conference. At BC, I travelled to several conferences with our MUN team and I have participated EagleMUNC since my freshman year. As you begin your EagleMUNC V experience, I implore you to explore the conference theme, "The Interplay of Power and Ethics," and make your EagleMUNC experience the best it can be! Thank you, and I'll see you at EagleMUNC! Best Regards, Kerianne DiBattista Secretary-General, EagleMUNC V Dear Delegates, It is my great pleasure to welcome you to EagleMUNC V! My name is Jack Massih and I am the Under Secretary-General of Political Affairs. I am a senior at Boston College studying Political Science and Economics. I began participating in MUN my sophomore year of high school and have been hooked ever since. I joined the EagleMUNC team as a freshman for the first year we moved off BC’s campus and into Boston, and it has been a joy to witness the conference continuously grow and evolve since then.
    [Show full text]
  • Letter from the Sandlers to the Times (April 22, 2009)
    Letter from the Sandlers to The Times (April 22, 2009) See www.goldenwestworld.com for additional information about Golden West Financial Corporation and World Savings Bank HERBERT M. SANDLER & MARION O. SANDLER April 22, 2009 Mr. Bill Keller Executive Editor The New York Times 620 Eighth Avenue New York, NY 10018 Dear Mr. Keller: In our recent conversation, we mentioned that another letter concerning the December 25th New York Times article would be forthcoming. Thank you for your time and consideration. You may wonder why we haven’t just ignored the story and moved on. Here are some reasons why: • Our entire business careers and personal lives have been based on ethics, integrity, discipline and fair dealing. For us and our children, our reputation and the way in which we conduct our lives have always been of supreme importance. • World Savings had a well-deserved and unquestioned reputation, earned over 43 years, for integrity and for being the best run, most risk-averse and best performing publicly traded thrift. • Former World Savings employees remain extremely proud of the company they worked for and have been hurt by recent mischaracterizations about the company. Although it used to be an enormous plus to include World Savings on their resumes, the inclusion today carries an undeserved taint. • Because the article appeared in The New York Times, the errors in the story have been perpetuated by others. For example, errors made by Time Magazine in their February 2009 feature – “25 People to Blame for the Financial Crisis” – were lifted from your article. This has been true of other articles and the blogosphere, especially the right wing blogosphere that has cited the article to attack our “liberal” philanthropy and some organizations we have supported, including the Center for Responsible Lending and Pro Publica.
    [Show full text]
  • Wachovia Corp 10K 2007
    FORM 10-K WACHOVIA CORP NEW - WB Filed: February 28, 2008 (period: December 31, 2007) Annual report which provides a comprehensive overview of the company for the past year Table of Contents 10-K - WACHOVIA CORPORATION PART I ITEM 1. BUSINESS. ITEM 1A. RISK FACTORS. ITEM 1B. UNRESOLVED STAFF COMMENTS. ITEM 2. PROPERTIES. ITEM 3. LEGAL PROCEEDINGS. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. PART II ITEM 5. MARKET FOR REGISTRANT S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES. ITEM 6. SELECTED FINANCIAL DATA. ITEM 7. MANAGEMENT S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA. ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE. ITEM 9A. CONTROLS AND PROCEDURES. ITEM 9B. OTHER INFORMATION. PART III ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE. ITEM 11. EXECUTIVE COMPENSATION. ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS. ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE. ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES. PART IV ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES. SIGNATURES EXHIBIT INDEX EX-10.P (EXHIBIT (10)(P)) EX-12.A (EXHIBIT (12)(A)) EX-12.B (EXHIBIT (12)(B)) EX-13 (EXHIBIT (13)) EX-21 (EXHIBIT (21)) EX-23 (EXHIBIT (23)) EX-24 (EXHIBIT (24)) EX-31.A (EXHIBIT (31)(A)) EX-31.B (EXHIBIT (31)(B)) EX-32.A (EXHIBIT (32)(A)) EX-32.B (EXHIBIT (32)(B)) Source: WACHOVIA CORP NEW, 10-K, February 28, 2008 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C.
    [Show full text]
  • Top of Page Interview Information--Different Title
    Oral History Center, The Bancroft Library, University of California Berkeley Oral History Center University of California The Bancroft Library Berkeley, California Steve Daetz Steve Daetz: Values and Leadership at Golden West Financial and the Sandler Foundation The Marion and Herbert Sandler Oral History Project Interviews conducted by Martin Meeker in 2018 Copyright © 2019 by The Regents of the University of California Oral History Center, The Bancroft Library, University of California Berkeley ii Since 1954 the Oral History Center of the Bancroft Library, formerly the Regional Oral History Office, has been interviewing leading participants in or well-placed witnesses to major events in the development of Northern California, the West, and the nation. Oral History is a method of collecting historical information through tape-recorded interviews between a narrator with firsthand knowledge of historically significant events and a well-informed interviewer, with the goal of preserving substantive additions to the historical record. The tape recording is transcribed, lightly edited for continuity and clarity, and reviewed by the interviewee. The corrected manuscript is bound with photographs and illustrative materials and placed in The Bancroft Library at the University of California, Berkeley, and in other research collections for scholarly use. Because it is primary material, oral history is not intended to present the final, verified, or complete narrative of events. It is a spoken account, offered by the interviewee in response to questioning, and as such it is reflective, partisan, deeply involved, and irreplaceable. ********************************* All uses of this manuscript are covered by a legal agreement between The Regents of the University of California and Steve Daetz dated April 23, 2018.
    [Show full text]
  • Banktown: Assessing Blame for the Near-Collapse of Charlotte's Biggest Banks Brian Choi
    NORTH CAROLINA BANKING INSTITUTE Volume 15 | Issue 1 Article 19 2011 Banktown: Assessing Blame for the Near-Collapse of Charlotte's Biggest Banks Brian Choi Follow this and additional works at: http://scholarship.law.unc.edu/ncbi Part of the Banking and Finance Law Commons Recommended Citation Brian Choi, Banktown: Assessing Blame for the Near-Collapse of Charlotte's Biggest Banks, 15 N.C. Banking Inst. 423 (2011). Available at: http://scholarship.law.unc.edu/ncbi/vol15/iss1/19 This Notes is brought to you for free and open access by Carolina Law Scholarship Repository. It has been accepted for inclusion in North Carolina Banking Institute by an authorized administrator of Carolina Law Scholarship Repository. For more information, please contact [email protected]. Banktown: Assessing Blame for the Near-Collapse of Charlotte's Biggest Banks I. INTRODUCTION In Banktown: The Rise and Struggle of Charlotte's Big Banks, author and Charlotte Observer banking reporter Rick Rothacker tracks the remarkable growth of two Charlotte-based banks and their near-collapses amidst financial turmoil.' Delving into the history of North Carolina's banking industry, Rothacker highlights the expansion of Bank of America and Wachovia from their humble beginnings to their peak as financial powerhouses.2 Rothacker also sheds light on the recent struggles of the two banks during the financial crisis and the ensuing recession and highlights the root causes of their difficulties. Banktown recounts the near-collapse of both of Charlotte's iconic banks as a result of participating in one deal too many.4 Ill timed mergers by Bank of America with Countrywide Financial and Merrill Lynch and by Wachovia with Golden West Financial, brought along toxic assets for both banks.
    [Show full text]
  • Whither Wachovia? Wells Fargo Wins the Battle for the Storied North Carolina Banking Institution
    HIRSH.DOC 3/4/2009 5:31 PM WHITHER WACHOVIA? WELLS FARGO WINS THE BATTLE FOR THE STORIED NORTH CAROLINA BANKING INSTITUTION BY FRANK A. HIRSCH JR.* AND JOSEPH S. DOWDY** I. INTRODUCTION In September 2008, Wachovia Corporation (Wachovia) was the fourth largest bank holding company in the United States based on assets and the third largest U.S. full-service brokerage firm based on financial advisors.1 By the first weekend in October 2008, however, the 129-year old2 financial giant unexpectedly became a casualty of the financial services market meltdown which started with the subprime market collapse in June 2007.3 Facing a * Frank A. Hirsch, Jr., Nelson Mullins Riley & Scarborough, LLP (Raleigh and Charlotte, North Carolina offices); B.A., The University of North Carolina at Chapel Hill; J.D., Vanderbilt University Law School. ** Joseph S. Dowdy, Nelson Mullins Riley & Scarborough, LLP (Raleigh, North Carolina office); B.A., The University of North Carolina; J.D., The University of North Carolina School of Law. 1. Ehrenhaus v. Baker, 2008 WL 5124899, 2008 N.C. Bus. C. 20, ¶ 54 (N.C. Super. Ct. 2008) (unpublished decision) (citing Top 50 Bank Holding Companies Summary Page, http://www.ffiec.gov/nicpubweb/nicweb/Top50form.aspx (last visited Dec. 2, 2008) and Proxy Statement-Prospectus dated 21 November 2008, at 88, available at http://www.nc businesscourt.net/TCDDotNetPublic/default. aspx?CID=2 (enter “Ehrenhaus” into the “Search” field; click “08CVS22632” hyperlink; click “Filing of Wachovia Corporation’s Proxy Statement of Nov. 21, 2008” hyperlink)); see also Wachovia Company Facts As Of September 30, 2008, http://www.wachovia .com/inside/page/ 0,,132_148,00.html (last visited Jan.
    [Show full text]
  • GOLDEN WEST FINANCIAL CORPORATION Incorporated Pursuant to the Laws of Delaware State
    For the Fiscal Year Ended December 31, 2004 Page 1 of 137 10-K 1 d10k.htm FOR THE FISCAL YEAR ENDED DECEMBER 31, 2004 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-K ⌧ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2004 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-4629 GOLDEN WEST FINANCIAL CORPORATION Incorporated pursuant to the Laws of Delaware State I.R.S. – Employer Identification No. 95-2080059 1901 Harrison Street, Oakland, California 94612 (510) 446-3420 Securities registered pursuant to section 12(b) of the Act: Title of each class Name of each exchange on which registered Common Stock, $.10 par value New York Stock Exchange, Pacific Exchange Securities registered pursuant to Section 12(g) of the Act: NONE Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to mhtml:http://www.goldenwestworld.com/wp-content/themes/goldenwest/docs/fin/10-K-12... 2/14/2009 For the Fiscal Year Ended December 31, 2004 Page 2 of 137 file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ⌧ No Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.
    [Show full text]