Thread regarding U.S. Bank layoffs

USB is horrible at mergers. If not for the UB folks , USB would have sc--wed up the acquisition. That aside, USB has a capital problem. They still owe MUFG $3.4B( public knowledge) that they borrowed to buy UB. MUFG also owns 4% of USB and they aren’t big consumer bank fans. Besides USB has a $400M miss on projects and process improvements that did not pan out, hence all the layoffs. USB is full of really bad managers and heavy on the MCKinsey koolaid. Even though both Truist and USB need a merger to catch up to Citi or Wells, they would potentially really sc--w up customers or the banking system.. don’t forget the regulatory issues for both banks.

Also there’s several people here who don’t know jokes when they see them. 😂

Yeah that’s not happening. Layoffs, sure. another merger, no.

I heard that the Rothschilds are partnering with the Bilderberg and Illuminati to push through a mega merger of 3 of the largest banks: US Bank + BofA + Citi, to form a giant mega-bank called Tri-World Bank. They all have plants in the government and on the Fed so it is totally possible. I heard the timeline is by end of 2024 for approval and then a quick close by mid 2025.

US Bank does not need to merge because no matter how you feel about USB - the company runs a tight ship and portfolio compared to other messy banks.

USB is spending on services and verticals; in the age of fintech, there is no need for redundancy.

Don't feed the trolls - OP from the Truist site:

"I just trolled the US Bank Layoff.com and no mention of Truist. Shocker! Also, been thru many mergers and we trolls are the LAST toknow.. you know, insider trader and all.... next topic please! :-)"

UB acquisition only passes when they lied to the Feds and the community leaders that no branches would close and no front line employees would be laid off. That was a promise they made to get the deal pass.

It was an obvious lay with all the branch closures and lay off of employees

Zero chance. Banks combined assets too big. MUFG acquisition almost didn’t happen and they’re much smaller. It would never pass

This is all adding up now. AC and Gungan in NC and promoting Gungan. Gungan and her McKinsey experience means laying off people. Makes sense. Just like the Union Bank acquisition and purging all Union Bank leadership and now purging Union Bank employees.
Why did we buy UNion Bank for anyway????

I don't see how this could happen in this environment. USB's market cap is $61 billion and Truist is $48 billion, so this would be a reverse merger, which is uncommon in general, particularly in banking. The most recent example I can think of is Banc of CA's acquisition of Pacwest, but that was because Pacwest's future was highly uncertain. Even if this deal theoretically made sense, bank mergers right now are extremely difficult to get through the regulatory process (though admittedly not impossible) -- and the larger the banks the more challenging it is. This merger would create another TBTF bank with >$1.1 trillion in assets. I don't see that going anywhere under the current administration or in this regulatory climate. That could change if Republicans win in November, but it is almost certainly DOA with Dems in control.

Bottom line...this scenario is unlikely for many, many reasons. But it's fun to speculate...

Truist would acquire USB not the other way around. Gunjan's appointment makes the most sense in light of the looming merger, her role like during her time at Mckinsey would be to shed duplicative departments and divisions before and after the merger. Truist has already undergone 2 similar rounds of leaning out in preparation.

The benefit in theory would be a true national bank (almost at least). The problem is recent history has not been good with acquisitions, and due diligence was bad for Union Bank IMO.

Another bank acquisition that USB cannot afford without taking out loan? Just like Union, they will purchase the bank and within a year lay off another 6,000 plus people.

Possible but this is soooo far off from reality.

What benefit for either bank??? None.

Chris B, head of corporate real estate just came from Truist

Not sure if this is true, but certainly plausible, and I can confirm both Andy and Gunjan were in North Carolina this week.