Bank Corp

Geiermann selected for foundation board Annie L. Geiermann, senior vice president of the Citizens National Bank's Business Banking Group, has been appointed to the board of directors of the Columbia Foundation. The appointment was announced by Glenn L. Wilson, president of the bank. She will serve two three-year terms on the 31-member board. Geiermann replaces Joseph E. Pipetone of Citizens National, who has served on the board for five years. Citizens National, with headquarters in Laurel since 1890, is wholly-owned by Mercantile Bank Corp.

PITTSBURGH -- Mellon Bank Corp. reorganized its senior management in its first day under new Chairman Martin McGuinn, giving its three top officers more responsibility amid the departures of Vice Chairmen Jamie Stewart Jr. and David Lovejoy.The jobs of both Stewart, 54, and Lovejoy, 50, will be divided between McGuinn, 56, and Chief Financial Officer Steve Elliott, 52.President Christopher Condron, 51, will assume responsibility for retail banking, relinquishing his post as president of the Dreyfus family of mutual funds to Steve Canter, 53, currently chief investment officer for Dreyfus.

PITTSBURGH -- Mellon Bank Corp. reorganized its senior management in its first day under new Chairman Martin McGuinn, giving its three top officers more responsibility amid the departures of Vice Chairmen Jamie Stewart Jr. and David Lovejoy.The jobs of both Stewart, 54, and Lovejoy, 50, will be divided between McGuinn, 56, and Chief Financial Officer Steve Elliott, 52.President Christopher Condron, 51, will assume responsibility for retail banking, relinquishing his post as president of the Dreyfus family of mutual funds to Steve Canter, 53, currently chief investment officer for Dreyfus.

NEW YORK -- The Dow Jones industrial average retreated from a record yesterday, but U.S. stocks and other indexes rose for a second day as investors speculated -- correctly -- that Microsoft Corp. would release better-than-expected profits, a sign of a pickup in the computer industry.After the market closed, Microsoft reported fiscal third-quarter earnings of 50 cents a share, 3 cents better than estimates.Bank shares, already red-hot from takeover speculation, got a boost from Bank of New York Co.'s unsolicited $22.6 billion bid for Mellon Bank Corp.

WASHINGTON -- Switzerland's three biggest commercial banks made a public offer of $600 million yesterday to settle claims from Holocaust victims who have charged that their families' assets were stolen. Jewish leaders immediately rejected the offer as "humiliating" and said negotiations had broken down.Credit Suisse, Swiss Bank Corp. and Union Bank of Switzerland stopped short of saying that the offer was final, but in a statement insisted that they "would not entertain unfounded and excessive demands for payments above this amount."

NEW YORK -- U.S. stocks rose for a fourth day, sending the Dow Jones industrial average to a record, on optimism for low interest rates and rising profits.Rockville, Md.-based EntreMed Inc. led the advance, soaring $39.75 to $51.8125 after touching $85. The National Cancer Institute said two of the company's drugs offer the best hope for treating cancer. Bristol-Myers Squibb Co., which owns a stake in EntreMed and is helping develop one of the drugs, surged $3.25 to $109.25.The Dow industrials rose 45.59 to close at a record 9,192.

NEW YORK -- Coca-Cola Co. shares led the Dow Jones industrial average down yesterday, falling on concern that its profit will be hurt by the dollar's strength against Asian currencies.The Dow fell 38.29 to 8,110.84, its first decline in seven sessions. The Nasdaq composite rallied for a second day, gaining 17.64 to 1,651.54."You're seeing a rotation from the more stable companies, that have led the S&P to new highs, to small and midcap stocks," said Bill O'Hearn, a money manager with McKinley Capital Management Inc. in San Francisco, which oversees about $1 billion.

NEW YORK -- Swiss Bank Corp. said yesterday that it would acquire Dillon, Read & Co., the New York investment company, for about $600 million, one day after the ING Groep of the Netherlands said its talks with Dillon had broken off.The transaction, which was negotiated in just the past few weeks, is further evidence of the determination of big European banks to build investment banking franchises in the United States.The Swiss Bank is paying handsomely for Dillon, Read, which has a storied history dating to 1832 and now specializes in advising companies on mergers and acquisitions and in raising capital through equity and debt issues.

Crestar Financial Corp. said yesterday that it has reached an agreement to acquire the deposits, customer accounts and select loans of 10 Mellon Bank branches in Montgomery and Prince Georges counties.The acquisition will initially bring to Crestar about $220 million in deposits and 17,400 customer households.Crestar did not disclose the purchase price.The move is the latest effort by Richmond, Va.-based Crestar to expand its Maryland operations. The $18.3 billion-asset banking company agreed Wednesday to acquire the Ryland Funding Group, the wholesale mortgage banking operation of Columbia-based Ryland Group Inc.'s mortgage subsidiary.

NEW YORK -- U.S stocks rose yesterday, driving the Standard & Poor's 500 index to a record high amid gains in financial, beverage and semiconductor issues.Stocks advanced amid optimism that the Federal Reserve won't raise interest rates again this year. A government report showing that retail sales are rising modestly furthered a growing belief that higher interest rates have already subdued inflation."There's no reason to raise rates again," said Elizabeth Bramwell, president of Bramwell Capital Management, which manages $100 million.

Maryland is closer to losing its largest independent bank, one that has been a Baltimore fixture for more than 120 years. On Wednesday, shareholders of Provident Bankshares Corp. approved a merger with New York-based M&T Bank Corp. "You can't help but feel a sense of sadness about that. At the same time, we feel we have acted in the best interest of our shareholders," Provident Chairman and chief executive Gary N. Geisel said before the shareholder vote was announced. More than two-thirds of shareholders approved the buyout by M&T, which will become Maryland's second-largest bank in market share once the merger is completed.

Meet the new American lender. M&T Bank Corp., which said yesterday that it will buy Baltimore's Provident Bankshares, will typify U.S. finance in the next few years. Big. Based somewhere else. But something that looks like an old-fashioned bank, with branch offices and lollipops next to the teller. FDIC-insured. No investment banking division. No Masters of the Universe deal makers. No 30 dollars borrowed for every one dollar of capital. A lineup that recently would have seemed terribly dull for consumers as well as shareholders now looks very attractive.

Provident Bankshares Corp., the largest remaining Baltimore-based bank, squeezed by competition and losses, announced yesterday that it is selling itself to New York-based M&T Bank Corp., a dominant player in the Mid-Atlantic that is working to expand its foothold in a city where its name adorns the biggest sports stadium. The $401 million stock deal could lead to some layoffs among Provident's 1,660 employees as the banks merge operations and eliminate redundant operations, according to banking analysts and consultants.

M&T securities acquires Pikesville brokerage M&T Securities Inc., the brokerage and insurance arm of M&T Bank Corp., said yesterday that it has acquired Pikesville-based brokerage firm Peremel & Co. from PNC Investments LLC. M&T will operate the business as a standalone investment center under the M&T name at its current location on Reisterstown Road. The brokerage, which has eight employees, has 6,000 customers and $700 million in assets, M&T said. M&T Bank Corp. is a bank holding company for banking subsidiary M&T Bank, which operates branches in seven states, including Maryland, and Washington.

Geiermann selected for foundation board Annie L. Geiermann, senior vice president of the Citizens National Bank's Business Banking Group, has been appointed to the board of directors of the Columbia Foundation. The appointment was announced by Glenn L. Wilson, president of the bank. She will serve two three-year terms on the 31-member board. Geiermann replaces Joseph E. Pipetone of Citizens National, who has served on the board for five years. Citizens National, with headquarters in Laurel since 1890, is wholly-owned by Mercantile Bank Corp.

M&T Bank Corp. chief executive Robert E. Sadler Jr. announced yesterday that he will retire from his post at the end of the year, ushering in a re-ordering of executives at the Buffalo, N.Y.-based bank, which ranks as the third-largest in Maryland by market share. Sadler, who characterized his decision as "very personal" in a statement, will remain as a vice chairman at the bank. Chairman Robert G. Wilmers, who stepped down as chief executive officer to make way for Sadler less than 18 months ago, will return to that position.

In The Region Pinto named to head Mid-Atlantic division of M&T Bank Corp. M&T Bank Corp. is moving its vice chairman and chief financial officer, Michael P. Pinto, from its Buffalo, N.Y., headquarters to Baltimore to run its Mid-Atlantic division. Pinto will replace Eugene J. Sheehy, who was recently named chief executive of Allied Irish Banks PLC. Allied Irish sold Baltimore-based Allfirst Financial Inc. to M&T in 2002, giving it a share of the Buffalo bank. Pinto joined M&T in 1985, working his way through the ranks to win a seat on its board two years ago. In his new role, Pinto will oversee operations in Maryland and four other states and the District of Columbia.

M&T Bank Corp.'s purchase of Baltimore's Allfirst Financial Inc. in April helped lift third-quarter earnings by 42 percent, beating Wall Street estimates despite merger expenses of $12.4 million and slimmer profits on loans. Officials at Buffalo, N.Y.-based M&T said yesterday that the $3.1 billion merger cost $50 million to $60 million less than originally projected and is likely to have a negligible effect on earnings in the current quarter. The merger vaulted M&T into the top 20 U.S. banks but cost 657 jobs in Maryland.

State budget crisis Gov.-elect Robert L. Ehrlich Jr. enters office this week facing plenty of tough issues. One of the biggest is erasing Maryland's $1.8 billion budget deficit. That won't be easy. But under state law, Ehrlich has no choice but to trim spending or find ways to generate revenue until the budget is balanced. Most experts predict layoffs, especially in Baltimore where a large number of the state government's 108,956 employees work. But Ehrlich doesn't want to cut people or raise taxes.

In the Region Whiting Turner wins African-American museum contract The state Board of Public Works approved yesterday a $21.3 million construction contract for the Reginald F. Lewis Maryland Museum of African American History and Culture, paving the way for the project to break ground by December. Whiting Turner Contracting Co. was the sole bidder for the 82,000-square-foot museum, according to Gov. Parris N. Glendening's office. The museum, scheduled to open in 2004 will be named after Reginald F. Lewis, the late Baltimore native and philanthropist whose family has donated $5 million to the project.