Wachovia Mortgage, FSB
6825 Aliante Parkway
North Las Vegas, NV 89084 http://www.wachovia.com
Background
Wachovia Mortgage, FSB was established in 1987 and currently headquartered in North Las Vegas, NV. Wachovia Mortgage, FSB became an FDIC insured institution in 1987. Wachovia became the nation’s largest originator of option ARMs when it paid almost $26 billion for Golden West in May 2007. When the housing prices began to fall at the same time rates were adjusting higher on those ARM mortgages, borrowers began defaulting, leading to huge loan losses. Starting from January 1, 2009, Wells Fargo & Co. has become Wachovia Corporation’s holding company.
FDIC Certificate #
27076
Bank Charter Class
Savings Association
Asset Concentration
Mortgage Lending Specialization
Product Specialty
Mortgage Lending Services
Key Information & News
Number of Branches: N/A
Number of Employees: 4,979 employees.
Executives
Chairman
Richard M. Kovacevich
CEO/President
John Stumpf
CFO
Howard I. Atkins
2008 News
Wachovia reports $8.9B loss, will cut 10,750 jobs (July 22nd, 2008).
Washington Mutual Inc. is the second largest originator of Option ARMs mortgages. Wachovia, as the largest originator of option ARMs mortgages, its shares declined 36% to $8.81 right after WaMu’s failure (Sept. 26th, 2008).
Citigroup and Wells Fargo had a bidding war over a possible takeover of Wachovia. (Sept. 28th, 2008)
Citigroup reached an arrangement to purchase all of the banking subsidiaries of Wachovia for around $2.2 billion, and the deal was being done with aid from the FDIC. But just a few days later, Wells Fargo reached an agreement to acquire Wachovia for $15.1 billion. Citigroup is on the process of taking legal action (Oct. 3rd, 2008).
