BB&T

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BB&T Corporation
Type Public
Traded as NYSEBBT
S&P 500 Component
Industry Finance, Investments, and Insurance
Founded 1872
Headquarters Winston-Salem, North Carolina, United States
Area served North Carolina, South Carolina, Virginia, Maryland, West Virginia, Kentucky, Tennessee, Georgia, Florida, Alabama, Indiana, Texas, Washington, D.C.
Key people Kelly S. King (Chairman and CEO)
Products Commercial and Consumer banking, Investment banking, Insurance, Mortgage
Revenue Increase US$5.4 billion (FY 2012)[1]
Total assets Increase $182 billion (FY 2012)[2]
Total equity Increase $18.9 billion (FY 2012)[1]
Employees 33,647 (December 2011)[1]
Website Bbt.com

The BB&T Corporation (Branch Banking & Trust) is an American bank with assets of US$182 billion (September 2012),[3] offering commercial and retail banking services along with other financial services such as insurance, investments, retail brokerage, mortgage, corporate finance, consumer finance, payment services, international banking, leasing and trust. Based in Winston-Salem, North Carolina, BB&T operates more than 1,800 financial centers in the United States including North Carolina, South Carolina, Virginia, Maryland, West Virginia, Kentucky, Tennessee, Georgia, Florida, Alabama, Indiana, Texas, and Washington, D.C..

History[edit]

BB&T footprint map

BB&T dates back to 1872, when Alpheus Branch and Thomas Jefferson Hadley founded the "Branch and Hadley" merchant bank in their small hometown of Wilson, North Carolina. After many transactions, mostly with local farmers, Branch bought out Hadley's shares in 1887 and renamed the company to "Branch and Company, Bankers." Two years later, Branch, his father-in-law Gen. Joshua Barnes, Hadley, and three other men, secured a charter from the North Carolina General Assembly to operate the "Wilson Banking and Trust Company." After numerous additional name changes, the company finally settled on the name "Branch Banking and Trust Company". Branch remained an active member in the company until his death in 1893.


BB&T Headquarters in Winston-Salem, NC

BB&T sold Liberty Bonds during World War I and grew to have more than $4 million in assets by 1923. An insurance division was added in 1922, followed by a mortgage division in 1923. As banks across the nation failed as a result of the 1929 Stock Market Crash, BB&T survived; it was the only one to do so in the town of Wilson.

World War II revived BB&T. BB&T's prosperity continued into the 1960s and 1970s, as mergers and acquisitions grew the company to $343 million in assets with new branches in 35 cities. By 1994, BB&T had become North Carolina's largest bank with more than $10.3 billion in assets and 263 offices in 138 cities in the Carolinas, though it has since slipped to second behind Bank of America.


In 1995, BB&T and Southern National Bank, another bank with roots in the eastern part of the state, completed a "merger of equals." In an unusual arrangement, the holding company retained the Southern National name for a few years, but all of its banks took the BB&T name. This gave the new BB&T 437 branches in 220 cities in the Carolinas and Virginia. The bank continued to expand nationwide through the 1990s, purchasing Fidelity Financial Bankshares, First Financial of Petersburg, Maryland Federal Bancorp and Franklin Bancorporation in the Virginia/Maryland area. In 1999, BB&T acquired MainStreet Financial Corp. of Martinsville, Va., and Mason-Dixon Bancshares of Westminster, Md., and further expanded into Georgia and West Virginia after purchasing First Liberty of Macon, Ga., and Matewan Bancshares. The latter deal made BB&T the largest bank in West Virginia, a position it has held on to since.[4]

Typical branch office. Located in Lexington, North Carolina

From 2000 to 2005, BB&T acquired numerous smaller banks, expanding into Tennessee, Kentucky, and even Florida. By Dec. 31, 2005, BB&T Corporation had secured $109.2 billion in assets; operated more than 1,500 banking offices in 11 states and the District of Columbia; and had more than 28,000 employees.

In early 2007 BB&T acquired Coastal Federal Bank which is primarily located in Myrtle Beach, South Carolina. It has been one of the Carolinas' fastest growing banks. After BB&T's announcement of an opportunity for a "merger of equals" it was speculated that it would be a merger with either Regions Financial of Birmingham or Fifth Third of Cincinnati.

In late 2008 the bank accepted $3.1 billion in bailout money through the sale of its preferred shares to the U.S. Treasury's Troubled Asset Relief Program. The bank said in June 2009 that it had received approval to repurchase the shares.[5] Also in June 2009, its chairman, John A. Allison IV delivered a keynote address to a meeting of the Competitive Enterprise Institute, where he claimed to show how government regulation caused the 2007-2009 financial collapse.[6][7]

BB&T building in downtown Tampa, Florida

On August 14, 2009, it was announced that the deposits and loan accounts of the Colonial Bank were being transferred to BB&T as part of Colonial Bank's receivership by the FDIC.[8] This acquisition added more than 340 branches in Alabama, Florida, Georgia, Nevada and Texas along with approximately $22 billion in assets. This moved BB&T Corporation to the 10th largest commercial bank in the United States based on assets. BB&T quickly flipped the Nevada branch to U.S. Bancorp (dropping it to 10th overall), but hung on to its Texas branches, despite the Texas branches being outside of its historical footprint. As of November 1, 2011, In acquiring BankAtlantic, BB&T acquired approximately $2.1 billion in loans and assume approximately $3.3 billion in deposits.

On December 18, 2013, BB&T announced the purchase of 21 Citigroup branches in Texas for $36 million, adding $1.2 billion in deposits. After starting with 19 former Colonial branches and adding 41 more locations, BB&T increases its presence in the state to 81 branches with $2.8 billion in deposits, increasing its rank from 38th to 20th.[9]

Donations[edit]

  • The company has donated over $1 million to Appalachian State University to establish a leadership center that specializes in researching capitalism and free market economies
  • The company donated $350,000 to fund the teaching of "The Moral Foundations of Capitalism" at the Loyola College in Maryland.[10]
  • The company donated $1.5 million to the University of Georgia to "expand teaching and research into the foundations of capitalism and free market economies".[11]
  • The company donated $1 million to the University of Central Florida to create the BB&T Program for Business Ethics and fund the teaching of "The Moral Foundations of Capitalism".[12]
  • The company donated $1.75 million to West Virginia University's College of Business and Economics.The funds will establish a BB&T Chair in Free Market Thought and enhance the school's free market research and teaching programs.[13]
  • In May 2008, National Public Radio reported that the BB&T Charitable Foundation had given 25 U.S. colleges and universities "several million dollars" to fund programs promoting Ayn Rand's work and economic philosophy.[14]
  • In 2012, BB&T donated approximately $500,000 to Veterans Helping Veterans Heal in Winston-Salem, N.C.[15]

References[edit]

  1. ^ a b c "BB&T Corporation 2011 Annual Report, Form 10-K, Filing Date Feb 27, 2012". secdatabase.com. Retrieved June 19, 2012. 
  2. ^ "BB&T reports 28% increase in quarterly earnings release, Form 8-K, Filing Date Oct 18, 2012". secdatabase.com. Retrieved Oct 18, 2012. 
  3. ^ "Top 50 holding companies (HCs) as of 09/30/2012". Federal Financial Institutions Examination Council. September 1, 2012. Retrieved 2012-12-01. 
  4. ^ http://www.nyjobsource.com/bbt.html
  5. ^ "BB&T — News Releases". Bbt.mediaroom.com. 2009-06-09. Retrieved 2009-12-07. 
  6. ^ By Lydia DePillis (2009-06-12). "How one think tank adapted when the debate moved on from its favorite issue. - By Lydia DePillis — Slate Magazine". Slate.com. Retrieved 2009-12-07. 
  7. ^ John A. Allison IV. "Transcript of Keynote Address". Retrieved 2013-12-20. 
  8. ^ http://www.colonialbank.com/ accessed 15 Aug 2009
  9. ^ Craver, Richard (2013-12-18). "BB&T acquires 21 Citigroup branches in Texas". Winston-Salem Journal. 
  10. ^ BB&T Gives $350,000 grant to Loyola College
  11. ^ "Gift creates support fund for the study of capitalism and market economies at UGA’s Terry College of Business". Terry.uga.edu. Retrieved 2011-03-15. 
  12. ^ Orlando Business Journal (2008-11-07). "BB&T funds UCF business ethics program | Orlando Business Journal". Bizjournals.com. Retrieved 2011-03-15. 
  13. ^ "College Receives $1.75 Million". Be.wvu.edu. Retrieved 2011-03-15. 
  14. ^ Davis, Clark (6 May 2008). "Ayn Rand Studies on Campus, Courtesy of BB&T". National Public Radio. Retrieved 13 July 2012. 
  15. ^ "United Way of Forsyth County". 

External links[edit]