Wachovia – Wachovia Corporation and First Union Corporation
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Table of Contents
Background
Quick Summary of:
1.4.1
1.4.2
1.4.3
Products/Services
Market Analysis
Financial Information
Trend for:
4.3.1
4.3.2
Recommendations
Current Technology & Improvements
5.1.1
5.1.2
5.1.3
5.1.4
5.1.5
5.1.6
5.1.7
5.1.8
Company History
Wachovia was formed in 2001 by the merger of Wachovia Corporation and First Union Corporation. Wachovia National Bank was formed in Winston, North Carolina in 1879. The name Wachovia came from the Latin name for the German word Wachau. In the mid eighteenth century Moravian settlers gave the name Wachau to a tract of land in North Carolina because it resembled a piece of land along the Danube River called Der Wachau.
First Union Corporation was formed in the early Twentieth century funded by a $100,000 stock issue. The companys first headquarters were in a hotel in Charlotte, North Carolina. The company later merged with First National Bank of Ashville to form First Union National Bank of North Carolina.
Driving Force
The current Chief Executive Officer of Wachovia is Ken Thompson. Thompson has been with the company since 1976 and previously held the CEO position at First Union Corporation. Wachovia is the fourth largest holding company in the U.S. and is the third largest full-service brokerage based on assets.
Location
Wachovia headquarters is located in Charlotte, North Carolina, but the company has operations internationally. The company operates 3,900 financial centers and retail brokerage offices in forty-nine states and around the globe.
1.4.1 Employees
Wachovia has 95,000 employees world wide. Of those ninety-five thousand, there are ten thousand-five hundred registered financial service representatives.
1.4.2 Revenues Growth
In 2003 Wachovia had revenues of 24.4 billion dollars compare to 23.51 billion dollars in 2002. The increase in 2003 was the third consecutive year that Wachovia has seen year-end revenue growth. Currently, Wachovia has experienced fifteen percent revenue growth in the first two quarters of 2004 and an eleven percent decrease in revenues in the third quarter.
1.4.3 Income Growth
Wachovia has seen income growth for nine consecutive quarters dating back to the second quarter of 2002 when compared to prior year income. Net Income in 2003 was 4.2 billion dollars compared with 3.6 and 1.6 billion dollars in 2002 and 2001.
1.5 Website
The Wachovia corporate website is www.wachovia.com
2.1 Major Categories of Products/Services
Wachovia Corporation is one of the nations largest providers of financial services to retail, brokerage, and corporate customers. Wachovias earnings are primarily generated through its four core businesses: General Banking, Capital Management, Wealth Management, and the Corporate and Investment Bank. Through this balanced and diversified mix of businesses, Wachovia is able to provide a broad range of financial products and services,