TD Banknorth
Encyclopedia
TD Banknorth, formerly just Banknorth, was a wholly owned subsidiary of the Toronto-Dominion Bank
which conducted banking and insurance
activities, primarily serving the northeastern
area of the United States
, headquartered in Portland, Maine
. The bank became TD Bank, N.A. in June 2008.
In August 2004, Toronto-Dominion Bank
became the majority owner, renaming it "TD Banknorth, N.A."; all remaining shares of TD Banknorth were acquired by Toronto-Dominion Bank on April 20, 2007.
Its operating companies were Banknorth Connecticut, Peoples Heritage Bank (in Maine), Banknorth Massachusetts, Bank of New Hampshire, Evergreen Bank (in New York), Hudson United Bank, Banknorth Vermont, and Bancnorth Insurance Group. The majority of these companies were branded as TD Banknorth of State (example "TD Banknorth of Maine").
On April 10, 2008, TD Banknorth was merged with New Jersey
–based Commerce Bank
to form TD Bank, with joint headquarters in Cherry Hill, New Jersey
and Portland, Maine
. The legal name of the bank was changed to TD Bank, N.A. in June 2008, with all TD Banknorth branches outside of New England and all Commerce Bank branches being rebranded in the fall of 2008. The remaining branches, in New England, took on the new name in September 2009.
The origins of Banknorth Group, now TD Bank, lie in a number of local Maine
savings banks
, and in Vermont dating back to 1802 with Woodstock National Bank.
, Portland
’s mayor, was the first President. Support of community and public projects was an important objective of the bank. It weathered the great fire of Portland and the financial panics in 1873 and 1878, and at its 50th year in 1902 had 24,000 depositors, deposits of almost $10,000,000, and a staff of nine. In 1906, a branch on Congress Street joined the Head Office branch, and nineteen years later all business moved to Congress Street.
The Stock Market Crash of 1929 and the ensuing Great Depression
gravely threatened the Bank. To handle the number of properties it came to own through foreclosure, the bank established a “Real Estate Department” or property management division. Returning to prosperity with the post-war mortgage boom, Portland Savings was revolutionized under the leadership of Roger Lambert, CEO from 1965 to 1981. He encouraged the creation of a more dynamic board of directors and established a wide array of bank services, following the model of the commercial banks. He expanded Portland Savings’ portfolio of commercial loans and introduced innovative retail products such as money market
certificates. Between 1965 and 1981 the bank grew from 2 to 13 branches across Maine, with assets increasing from $63 to $294 million
. A conservative but successful bank, it prospered with the local mill economy. Early in the twentieth century the bank innovated by opening $1 accounts for all babies born in the area, on condition that there were no withdrawals for ten years. The policy lasted into the 1970s. Christmas and vacation clubs were also established. Local banks suffered greatly from the decline of the mill economy in the 1920s and 1930s, but enjoyed a recovery during World War II
, with industrial renewal and a defense bond business. In the post-war period People’s helped finance the new industries that were gradually replacing textiles in the local economy.
, (following attempts in 1855 and 1861). In 1974, it changed its name to the Heritage Savings Bank. In 1978, it merged with:
. The bank maintained the name Franklin County Bank until the merger with Lamoille County Bank & Trust Company (1875) in the early 1970s. After the merger, the bank adopted a new name, Franklin Lamoille Bank. The bank also incorporated a holding company named Banknorth.
Woodstock
National Bank was founded in 1802 and merged into the Howard Bancorp. The Woodstock National Bank maintained its name until June 1999 when it merged into its sister bank First Vermont Bank & Trust Company.
, was founded in 1870.
The Bank bought out a few banks and took them under the Howard Bank name. The Bank changed and shortened its name when it became a more statewide banking company. The Bank also created a banking holding company as "Howard Bancorp" in 1995, and in 1996 the Howard Bancorp merged with Banknorth Group Inc. In the deal, Howard Bancorp decided to take on the Banknorth Group name.
The oldest route that Banknorth currently has recorded for the Vermont banking company is Woodstock National Bank. All of the Vermont banking companies date to the 1800s with the exception of First Vermont Bank from 1906.
and elsewhere found themselves forced to pay higher interest rates to attract depositors while maintaining a large portfolio of long-term low-interest mortgages." In 1981 Portland Savings declared a loss and recognized a pressing need for consolidation in the local banking market. The following year Portland and People’s arranged a merger, and the new bank adopted the People’s name. In 1984, Peoples and Heritage merged as Peoples Heritage – a billion dollar institution with Wes Bonney as the first President. The new bank, with a total of 35 branches, moved quickly to expand its ATM network, introduce innovations such as Cashline phone banking, and develop an emphasis on commercial loan
s – a new development for a traditional savings bank. In 1986, in an effort to acquire capital for expansion, Peoples moved from being a mutual bank
to a public corporation.
With its new resources the bank planned to grow its asset base from $1 billion to $4 billion within five years. This was to be accomplished through acquisitions, an expanded branch network, and a rapid increase in commercial lending and real estate
. In 1988, Peoples Heritage reorganized itself as a bank holding company in order to gain greater flexibility in making bank and non-bank acquisitions.
Acquisitions in the period were:
real estate market collapsed. In this period of crisis, William J. Ryan became the new President and CEO. In 1990, the recession
resulted in 111 bank closures or mergers in New England
. Peoples’ stock began to fall as serious problems emerged with bad loans, particularly in the faltering real estate sector, but also in the commercial realm. In the period 1990 to 1992, Peoples was losing money, and federal regulators
issued a cease and desist order restricting the bank’s freedom in the loans area. In response, the management team was shaken up, and special teams were assigned to loans review and restructuring. The bank opened an innovative storefront retail real estate office to move foreclosed properties.
By mid-1992 recovery had begun. The bank had aggressively reduced its portfolio of non-performing loans, and all discernible asset quality trends were positive, resulting in a favorable impact to the bottom line. In 1993 the bank began to show a profit once more, and it re-capitalized with a rights offering in Q4 1992, generating $38 million in new capital.
and acquisition of other community banks in the region
The plan resulted in the following acquisitions during the 1990s:
The Banknorth acquisition was the most significant to date, and with it Peoples assumed the Banknorth name. Banknorth Group Inc. was headquartered in Burlington, Vermont
. The Company was the holding company for: Franklin Lamoille Bank (1899) in St. Albans; The Howard Bank N.A. (1870) in Burlington; Stratevest N.A. (Investment & Managements) in Burlington (FLB, THB, GSB, FVB, FNB, FMB, EB); Granite Savings Bank & Trust Company (1885) in Barre; Woodstock National Bank (1802) in Woodstock; First Vermont Bank & Trust Company (1906) in Brattleboro; and Farmington National Bank (1854), Farmington, New Hampshire
. The merger increased Peoples' assets to $17 billion and gave it a larger presence in Massachusetts, Vermont and, through Evergreen Bank (Glens Falls
, (1853), in New York
.
The completion of the merger was delayed by regulatory review, but on May 10, 2000, Banknorth Group Inc of Portland, Maine came into being. “The Banknorth acquisition brought into the fold eight separate community banks (Franklin Lamoille Bank N.A., The Howard Bank N.A., and First Vermont Bank N.A. in Vermont; Bank of New Hampshire under the charter of Farmington National Bank in New Hampshire; Oxford Bank & Trust, a division of Peoples Heritage Bank, and Peoples Heritage Bank in Maine; First Mass. Bank in Massachusetts; GBT, a division of First Mass Bank in Connecticut; and Evergreen Bank in New York), with 101 branches, together with an investment management firm, Stratevest, that oversaw some 4 billion in assets and a freestanding mortgage-lending unit.”
The new organization renewed its program of acquisitions. “As Banknorth expanded across the map of New England, the message remained the same: community banking values, enhanced by the resources of a major banking organization, create a better bank.”
Acquisitions in the period included:
In the 1990s and early 2000s, the emphasis was on the development of a financial services company in a true community bank setting. In 1997 the bank launched what would become Banknorth Insurance Group, and by 2002 built the largest insurance brokerage group in New England. By 2002 Banknorth Investment Management Group had grown out of the trust business of the Bank of New Hampshire and Banknorth Vermont’s consolidated trusts operation, Stratevest.
On December 31, 2001, the holding company, Banknorth Group, Inc., merged its seven subsidiary banks into one bank, Banknorth NA under the Peoples Heritage Bank charter dating back to 1852, with one OCC charter. Using locally relevant trade names retained the local identity in each state.
.
All remaining shares of TD Banknorth were acquired by Toronto-Dominion Bank
on April 20, 2007.
(which took over the Middletown Savings Bank locations in New York). The acquisition significantly expanded TD Banknorth’s presence in both Connecticut
and New York and extended the franchise into northern New Jersey
and Philadelphia as well.
TD Banknorth announced acquisition of Interchange Financial Services Corp in April 2006, adding 30 branches in Bergen and Essex counties of New Jersey.
In January 2006, the company finalized acquisition of Boothby & Bartlett Company, a central Maine insurance agency in Waterville.
Banknorth added a sister company, TD Ameritrade
, which was formed after the Ameritrade Holding Corporation acquired TD Waterhouse USA from Toronto-Dominion Bank in 2006. On November 20, 2006, TD Bank Financial & TD Banknorth entered into an agreement in which TD Bank would acquire all remaining shares of TD Banknorth held by the public for US$32.33 per share in cash. This was completed on April 20, 2007, and TD Banknorth became a wholly owned subsidiary of TD Bank.
On October 2, 2007 Toronto-Dominion announced its plans to acquire Cherry Hill, New Jersey
–based Commerce Bancorp
, pending shareholder and regulatory approval. The combined company was to be known as TD Commerce Bank, but in March 2008 Commerce Bank & Trust Company
of Worcester, Massachusetts
filed a lawsuit against TD Banknorth, to bar the bank from using the name TD Commerce Bank in its existing Massachusetts branches. On May 2, 2008, federal Judge F. Dennis Saylor granted a preliminary injunction, prohibiting the use of the TD Commerce name in Massachusetts branches.
Toronto-Dominion then dropped plans to add the Commerce name to its banking operation and instead chose to operate all its branches as "TD Bank".
Toronto-Dominion Bank
The Toronto-Dominion Bank , is the second-largest bank in Canada by market capitalization and based on assets. It is also the sixth largest bank in North America. Commonly known as TD and operating as TD Bank Group, the bank was created in 1955 through the merger of the Bank of Toronto and the...
which conducted banking and insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
activities, primarily serving the northeastern
New England
New England is a region in the northeastern corner of the United States consisting of the six states of Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut...
area of the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, headquartered in Portland, Maine
Portland, Maine
Portland is the largest city in Maine and is the county seat of Cumberland County. The 2010 city population was 66,194, growing 3 percent since the census of 2000...
. The bank became TD Bank, N.A. in June 2008.
In August 2004, Toronto-Dominion Bank
Toronto-Dominion Bank
The Toronto-Dominion Bank , is the second-largest bank in Canada by market capitalization and based on assets. It is also the sixth largest bank in North America. Commonly known as TD and operating as TD Bank Group, the bank was created in 1955 through the merger of the Bank of Toronto and the...
became the majority owner, renaming it "TD Banknorth, N.A."; all remaining shares of TD Banknorth were acquired by Toronto-Dominion Bank on April 20, 2007.
Its operating companies were Banknorth Connecticut, Peoples Heritage Bank (in Maine), Banknorth Massachusetts, Bank of New Hampshire, Evergreen Bank (in New York), Hudson United Bank, Banknorth Vermont, and Bancnorth Insurance Group. The majority of these companies were branded as TD Banknorth of State (example "TD Banknorth of Maine").
On April 10, 2008, TD Banknorth was merged with New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
–based Commerce Bank
Commerce Bancorp
TD Bank, N.A., is a national banking institution in the United States which offers banking, insurance, brokerage, and investment banking services in Connecticut, Delaware, Florida, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, South Carolina,...
to form TD Bank, with joint headquarters in Cherry Hill, New Jersey
Cherry Hill, New Jersey
Cherry Hill is a township in Camden County, New Jersey, in the United States. As of the 2010 United States Census, the township had a population of 71,045, representing an increase of 1,080 from the 69,965 residents enumerated during the 2000 Census...
and Portland, Maine
Portland, Maine
Portland is the largest city in Maine and is the county seat of Cumberland County. The 2010 city population was 66,194, growing 3 percent since the census of 2000...
. The legal name of the bank was changed to TD Bank, N.A. in June 2008, with all TD Banknorth branches outside of New England and all Commerce Bank branches being rebranded in the fall of 2008. The remaining branches, in New England, took on the new name in September 2009.
History
Maine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...
savings banks
Savings and loan association
A savings and loan association , also known as a thrift, is a financial institution that specializes in accepting savings deposits and making mortgage and other loans...
, and in Vermont dating back to 1802 with Woodstock National Bank.
Portland Savings Bank
The Portland Savings Bank was established in 1852, and was initially open only on Wednesdays and Saturdays from 11 to 1. Albion K. ParrisAlbion K. Parris
Albion Keith Parris was an American politician and jurist of Maine. Parris served in many elected and appointed positions throughout this life, including state legislator, U.S. Senator, the fifth Governor of Maine, state Supreme Court judge, and mayor.-Biography:Parris was born in Hebron, Maine,...
, Portland
Portland, Maine
Portland is the largest city in Maine and is the county seat of Cumberland County. The 2010 city population was 66,194, growing 3 percent since the census of 2000...
’s mayor, was the first President. Support of community and public projects was an important objective of the bank. It weathered the great fire of Portland and the financial panics in 1873 and 1878, and at its 50th year in 1902 had 24,000 depositors, deposits of almost $10,000,000, and a staff of nine. In 1906, a branch on Congress Street joined the Head Office branch, and nineteen years later all business moved to Congress Street.
The Stock Market Crash of 1929 and the ensuing Great Depression
Great Depression
The Great Depression was a severe worldwide economic depression in the decade preceding World War II. The timing of the Great Depression varied across nations, but in most countries it started in about 1929 and lasted until the late 1930s or early 1940s...
gravely threatened the Bank. To handle the number of properties it came to own through foreclosure, the bank established a “Real Estate Department” or property management division. Returning to prosperity with the post-war mortgage boom, Portland Savings was revolutionized under the leadership of Roger Lambert, CEO from 1965 to 1981. He encouraged the creation of a more dynamic board of directors and established a wide array of bank services, following the model of the commercial banks. He expanded Portland Savings’ portfolio of commercial loans and introduced innovative retail products such as money market
Money market
The money market is a component of the financial markets for assets involved in short-term borrowing and lending with original maturities of one year or shorter time frames. Trading in the money markets involves Treasury bills, commercial paper, bankers' acceptances, certificates of deposit,...
certificates. Between 1965 and 1981 the bank grew from 2 to 13 branches across Maine, with assets increasing from $63 to $294 million
People’s Savings Bank
People’s Savings was founded in 1875 in Lewiston, MaineLewiston, Maine
Lewiston is a city in Androscoggin County in Maine, and the second-largest city in the state. The population was 41,592 at the 2010 census. It is one of two principal cities of and included within the Lewiston-Auburn, Maine metropolitan New England city and town area and the Lewiston-Auburn, Maine...
. A conservative but successful bank, it prospered with the local mill economy. Early in the twentieth century the bank innovated by opening $1 accounts for all babies born in the area, on condition that there were no withdrawals for ten years. The policy lasted into the 1970s. Christmas and vacation clubs were also established. Local banks suffered greatly from the decline of the mill economy in the 1920s and 1930s, but enjoyed a recovery during World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, with industrial renewal and a defense bond business. In the post-war period People’s helped finance the new industries that were gradually replacing textiles in the local economy.
Rockland Savings Bank/Heritage Savings Bank
Rockland Savings was established in 1868 in Rockland, MaineRockland, Maine
Rockland is a city in Knox County, Maine, in the United States. As of the 2010 census, the city population was 7,297. It is the county seat of Knox County. The city is a popular tourist destination...
, (following attempts in 1855 and 1861). In 1974, it changed its name to the Heritage Savings Bank. In 1978, it merged with:
- Penobscot Savings, BangorBangor, MaineBangor is a city in and the county seat of Penobscot County, Maine, United States, and the major commercial and cultural center for eastern and northern Maine...
, founded in 1869 and a pioneer in savings for children in association with the local school system. A “small conservative bank in a small conservative city,” it did not expand its branch system until 1961, when a second office was opened. - Waterville Savings, founded in WatervilleWaterville, MaineWaterville is a city in Kennebec County, Maine, United States, on the west bank of the Kennebec River. The population was 15,722 at the 2010 census. Home to Colby College and Thomas College, Waterville is the regional commercial, medical and cultural center....
in 1869.
Franklin County Savings Bank & Trust Co.
Franklin County Savings Bank was founded in 1899 in St. Albans, VermontSt. Albans (town), Vermont
St. Albans is a town in Franklin County, Vermont. The population was 6,392 at the 2010 census. The town completely surrounds the city of St. Albans, which was separated from the town and incorporated in 1902. References to "St. Albans" prior to this date generally refer to the town center, which...
. The bank maintained the name Franklin County Bank until the merger with Lamoille County Bank & Trust Company (1875) in the early 1970s. After the merger, the bank adopted a new name, Franklin Lamoille Bank. The bank also incorporated a holding company named Banknorth.
Woodstock
Woodstock (town), Vermont
Woodstock is the shire town, and capital, of Windsor County, Vermont, in the United States. As of the 2000 census, the town population was 3,232. It includes the villages of Woodstock, South Woodstock and Taftsville.-History:...
National Bank was founded in 1802 and merged into the Howard Bancorp. The Woodstock National Bank maintained its name until June 1999 when it merged into its sister bank First Vermont Bank & Trust Company.
Granite Savings Bank & Trust Company
The Granite Saving Bank & Trust Company was founded in Barre, Vermont in 1885. The bank's original office, located on North Main Street in Barre, is now the home for a senior citizen group. The current headquarters is 36 North Main Street, Barre. Banknorth Group Inc. planned to maintain the name until they were bought out by Peoples Bank (Maine). In 2000 Granite Savings Bank & Trust merged with its sister bank The Howard Bank. Some customers never noticed the change until their bank statement arrived.The Howard Bank N.A.
The Howard National Bank & Trust Company of Burlington, VermontBurlington, Vermont
Burlington is the largest city in the U.S. state of Vermont and the shire town of Chittenden County. Burlington lies south of the U.S.-Canadian border and some south of Montreal....
, was founded in 1870.
The Bank bought out a few banks and took them under the Howard Bank name. The Bank changed and shortened its name when it became a more statewide banking company. The Bank also created a banking holding company as "Howard Bancorp" in 1995, and in 1996 the Howard Bancorp merged with Banknorth Group Inc. In the deal, Howard Bancorp decided to take on the Banknorth Group name.
First Vermont Bank & Trust Company
The First Vermont Bank & Trust was founded in 1906. The Company bought out Franklin Lamoille Bank and was one of the first banks to offer on-line banking for the tellers. However, when Howard Bancorp assumed Banknorth Group, they found it too expensive to upgrade their systems. In 1999 the bank took over Woodstock National Bank. In 2002, all three Vermont banks were merged into Banknorth N.A. Vermont, a division of Banknorth N.A.The oldest route that Banknorth currently has recorded for the Vermont banking company is Woodstock National Bank. All of the Vermont banking companies date to the 1800s with the exception of First Vermont Bank from 1906.
Merger of Portland/Peoples/Heritage
"The late 1970s and early 1980s were difficult years for the thrift industry. As inflation and interest rates soared into double digits, savings banks in MaineMaine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...
and elsewhere found themselves forced to pay higher interest rates to attract depositors while maintaining a large portfolio of long-term low-interest mortgages." In 1981 Portland Savings declared a loss and recognized a pressing need for consolidation in the local banking market. The following year Portland and People’s arranged a merger, and the new bank adopted the People’s name. In 1984, Peoples and Heritage merged as Peoples Heritage – a billion dollar institution with Wes Bonney as the first President. The new bank, with a total of 35 branches, moved quickly to expand its ATM network, introduce innovations such as Cashline phone banking, and develop an emphasis on commercial loan
Loan
A loan is a type of debt. Like all debt instruments, a loan entails the redistribution of financial assets over time, between the lender and the borrower....
s – a new development for a traditional savings bank. In 1986, in an effort to acquire capital for expansion, Peoples moved from being a mutual bank
Mutual bank
Mutual bank or mutual banking may refer to*Mutual savings bank*Cooperative banking*Mutualism...
to a public corporation.
With its new resources the bank planned to grow its asset base from $1 billion to $4 billion within five years. This was to be accomplished through acquisitions, an expanded branch network, and a rapid increase in commercial lending and real estate
Real estate
In general use, esp. North American, 'real estate' is taken to mean "Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water; immovable property of this nature; an interest vested in this; an item of real property; buildings or...
. In 1988, Peoples Heritage reorganized itself as a bank holding company in order to gain greater flexibility in making bank and non-bank acquisitions.
Acquisitions in the period were:
- Northeast Leasing – 1987
- Six branches from Casco Northern Bank – 1989
- First Coastal Bank, Portsmouth, NHPortsmouth, New HampshirePortsmouth is a city in Rockingham County, New Hampshire in the United States. It is the largest city but only the fourth-largest community in the county, with a population of 21,233 at the 2010 census...
– 1989 - Merchants National BankMerchants National BankMerchants National Bank can refer to several buildings:*Merchants National Bank of Sacramento in Sacramento, California* Merchants National Bank in New York City*Merchants' National Bank in Grinnell, Iowa...
of DoverDover, New HampshireDover is a city in Strafford County, New Hampshire, in the United States of America. The population was 29,987 at the 2010 census, the largest in the New Hampshire Seacoast region... - First National Bank of Portsmouth, founded 1824
- Oxford Bank & Trust Company from Bank of Vermont. reason for this was that Bank of Boston bought Bank of Vermont. At the Same time Bank of Boston owned Casco Northern Bank. Therefore Oxford Bank & Trust needed to be sold (5 branches - 1988).
- Had a $100 million personal trusts department, the first venture of Peoples into this area.
Recession and crisis
In 1989 the MaineMaine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...
real estate market collapsed. In this period of crisis, William J. Ryan became the new President and CEO. In 1990, the recession
Recession
In economics, a recession is a business cycle contraction, a general slowdown in economic activity. During recessions, many macroeconomic indicators vary in a similar way...
resulted in 111 bank closures or mergers in New England
New England
New England is a region in the northeastern corner of the United States consisting of the six states of Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut...
. Peoples’ stock began to fall as serious problems emerged with bad loans, particularly in the faltering real estate sector, but also in the commercial realm. In the period 1990 to 1992, Peoples was losing money, and federal regulators
Bank regulation
Bank regulations are a form of government regulation which subject banks to certain requirements, restrictions and guidelines. This regulatory structure creates transparency between banking institutions and the individuals and corporations with whom they conduct business, among other things...
issued a cease and desist order restricting the bank’s freedom in the loans area. In response, the management team was shaken up, and special teams were assigned to loans review and restructuring. The bank opened an innovative storefront retail real estate office to move foreclosed properties.
By mid-1992 recovery had begun. The bank had aggressively reduced its portfolio of non-performing loans, and all discernible asset quality trends were positive, resulting in a favorable impact to the bottom line. In 1993 the bank began to show a profit once more, and it re-capitalized with a rights offering in Q4 1992, generating $38 million in new capital.
Recovery and expansion
In 1993 the Peoples management held a retreat to plan strategy for future growth. Bill Ryan proposed a doubling of assets to $5 billion through a maximization of market share in MaineMaine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...
and acquisition of other community banks in the region
The plan resulted in the following acquisitions during the 1990s:
- Mid-Maine Savings – Auburn, MaineAuburn, MaineAuburn is a city in and the county seat of Androscoggin County, Maine, United States. The population was 23,055 at the 2010 census. It is one of two principal cities of and included in the Lewiston-Auburn, Maine metropolitan New England city and town area and the Lewiston-Auburn, Maine metropolitan...
, 1993 - Bankcore, Inc / North Conway Bank – North Conway, New HampshireNorth Conway, New HampshireNorth Conway is a census-designated place in eastern Carroll County, New Hampshire, United States. The population was 2,349 at the 2010 census. A year-round resort area, North Conway is the largest village within the town of Conway, which is bounded on the east by the Maine state line. The White...
, 1995 - Bank of New Hampshire, 1995 – second largest bank in New HampshireNew HampshireNew Hampshire is a state in the New England region of the northeastern United States of America. The state was named after the southern English county of Hampshire. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Atlantic Ocean to the east, and the Canadian...
, founded in 1875, with assets of 1.7 billion. The acquisition increased the size of Peoples by 1/3 to $4.2 billion. As well, it established People’s credentials as a commercial bank. Terms of the merger allowed The Bank of New Hampshire to keep its name and management structure. - Family Bancorp - Haverhill, MassachusettsHaverhill, MassachusettsHaverhill is a city in Essex County, Massachusetts, United States. The population was 60,879 at the 2010 census.Located on the Merrimack River, it began as a farming community that would evolve into an important industrial center, beginning with sawmills and gristmills run by water power. In the...
, 1996 - Atlantic Bancorp — Portland, Maine – 15 branch operation with assets of $470, 1997
- CFX – Keene, New HampshireKeene, New HampshireKeene is a city in Cheshire County, New Hampshire, United States. The population was 23,409 at the 2010 census. It is the county seat of Cheshire County.Keene is home to Keene State College and Antioch University New England, and hosts the annual Pumpkin Fest...
, 1997 – originally Cheshire County Savings Bank, 1897. The acquisition doubled People’s assets to $10 billion. NH branches became part of The Bank of New Hampshire, while MassachusettsMassachusettsThe Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...
branches joined Family Bancorp. - Springfield Institution for Savings (SIS) – 1998 – Springfield, MassachusettsSpringfield, MassachusettsSpringfield is the most populous city in Western New England, and the seat of Hampden County, Massachusetts, United States. Springfield sits on the eastern bank of the Connecticut River near its confluence with three rivers; the western Westfield River, the eastern Chicopee River, and the eastern...
- 1.8 billion in assets – included Glastonbury Bank and Trust Company of Glastonbury, ConnecticutGlastonbury, ConnecticutGlastonbury is a town in Hartford County, Connecticut, United States, founded in 1693. The population was 31,876 at the 2000 census. The town was named after Glastonbury in Somerset, England. Glastonbury is located on the banks of the Connecticut River, 7 miles southeast of Hartford. The town... - Banknorth Group of Burlington, VermontBurlington, VermontBurlington is the largest city in the U.S. state of Vermont and the shire town of Chittenden County. Burlington lies south of the U.S.-Canadian border and some south of Montreal....
(1870), agreement reached in 1999
Peoples becomes Banknorth
Burlington, Vermont
Burlington is the largest city in the U.S. state of Vermont and the shire town of Chittenden County. Burlington lies south of the U.S.-Canadian border and some south of Montreal....
. The Company was the holding company for: Franklin Lamoille Bank (1899) in St. Albans; The Howard Bank N.A. (1870) in Burlington; Stratevest N.A. (Investment & Managements) in Burlington (FLB, THB, GSB, FVB, FNB, FMB, EB); Granite Savings Bank & Trust Company (1885) in Barre; Woodstock National Bank (1802) in Woodstock; First Vermont Bank & Trust Company (1906) in Brattleboro; and Farmington National Bank (1854), Farmington, New Hampshire
Farmington, New Hampshire
Farmington is a town located in Strafford County, New Hampshire, USA. The 2010 census reported that the town had a total population of 6,786. Farmington is home to Blue Job State Forest....
. The merger increased Peoples' assets to $17 billion and gave it a larger presence in Massachusetts, Vermont and, through Evergreen Bank (Glens Falls
Glens Falls, New York
Glens Falls is a city in Warren County, New York, United States. Glens Falls Metropolitan Statistical Area. The population was 14,700 at the 2010 census...
, (1853), in New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
.
The completion of the merger was delayed by regulatory review, but on May 10, 2000, Banknorth Group Inc of Portland, Maine came into being. “The Banknorth acquisition brought into the fold eight separate community banks (Franklin Lamoille Bank N.A., The Howard Bank N.A., and First Vermont Bank N.A. in Vermont; Bank of New Hampshire under the charter of Farmington National Bank in New Hampshire; Oxford Bank & Trust, a division of Peoples Heritage Bank, and Peoples Heritage Bank in Maine; First Mass. Bank in Massachusetts; GBT, a division of First Mass Bank in Connecticut; and Evergreen Bank in New York), with 101 branches, together with an investment management firm, Stratevest, that oversaw some 4 billion in assets and a freestanding mortgage-lending unit.”
The new organization renewed its program of acquisitions. “As Banknorth expanded across the map of New England, the message remained the same: community banking values, enhanced by the resources of a major banking organization, create a better bank.”
Acquisitions in the period included:
- Andover Bancorp, $1.8 billion company – 15 branches in EssexEssex County, Massachusetts-National protected areas:* Parker River National Wildlife Refuge* Salem Maritime National Historic Site* Saugus Iron Works National Historic Site* Thacher Island National Wildlife Refuge-Demographics:...
and MiddlesexMiddlesex County, Massachusetts-National protected areas:* Assabet River National Wildlife Refuge* Great Meadows National Wildlife Refuge* Longfellow National Historic Site* Lowell National Historical Park* Minute Man National Historical Park* Oxbow National Wildlife Refuge...
counties, Massachusetts, 2001 - MetroWest – 17 branches in BostonBostonBoston is the capital of and largest city in Massachusetts, and is one of the oldest cities in the United States. The largest city in New England, Boston is regarded as the unofficial "Capital of New England" for its economic and cultural impact on the entire New England region. The city proper had...
western suburbs – slightly less than $1 billion in assets, 2001 - Ipswich Bancshares – 8 branches north of Boston, 2002
- Warren Bancorp – Essex County, Massachusetts, 2002
- Community Insurance Agencies, Inc — May, 2002
- Bancorp Connecticut – seven branches and $663 million in assets, 2002
- American Savings Bank – New Britain, ConnecticutNew Britain, ConnecticutNew Britain is a city in Hartford County, Connecticut, United States. It is located approximately 9 miles southwest of Hartford. According to 2006 Census Bureau estimates, the population of the city is 71,254....
, 2003. Added $4 billion in assets and 47 branches in central Connecticut. - CCBT Financial Companies — Parent company of Cape Cod Bank & Trust, with $1.4 billion in assets and 26 branches in Barnstable and Plymouth Counties, Massachusetts, 2003
- Boston Federal Savings Bank, subsidiary of BostonFed Bancorp, Inc., with $1.7 billion in assets and $1.2 billion in deposits, and 16 branches in Middlesex, Norfolk, Essex and Suffolk Counties, Massachusetts, 2004
In the 1990s and early 2000s, the emphasis was on the development of a financial services company in a true community bank setting. In 1997 the bank launched what would become Banknorth Insurance Group, and by 2002 built the largest insurance brokerage group in New England. By 2002 Banknorth Investment Management Group had grown out of the trust business of the Bank of New Hampshire and Banknorth Vermont’s consolidated trusts operation, Stratevest.
On December 31, 2001, the holding company, Banknorth Group, Inc., merged its seven subsidiary banks into one bank, Banknorth NA under the Peoples Heritage Bank charter dating back to 1852, with one OCC charter. Using locally relevant trade names retained the local identity in each state.
TD acquisition
On August 26, 2004, it was announced that TD Bank Financial Group had signed an agreement with Banknorth to acquire 51% of the outstanding shares of the company for a total of $3.8 billion US. Banknorth shareholders approved the transaction at a special meeting of shareholders on February 18, 2005, and final approval was announced on March 1, 2005. In connection with the transaction, Banknorth changed its name to TD Banknorth Inc. and reincorporated in DelawareDelaware
Delaware is a U.S. state located on the Atlantic Coast in the Mid-Atlantic region of the United States. It is bordered to the south and west by Maryland, and to the north by Pennsylvania...
.
All remaining shares of TD Banknorth were acquired by Toronto-Dominion Bank
Toronto-Dominion Bank
The Toronto-Dominion Bank , is the second-largest bank in Canada by market capitalization and based on assets. It is also the sixth largest bank in North America. Commonly known as TD and operating as TD Bank Group, the bank was created in 1955 through the merger of the Bank of Toronto and the...
on April 20, 2007.
Continued growth
In July, 2005, TD Banknorth announced that it had acquired Hudson United Bank, based in Mahwah, New JerseyMahwah, New Jersey
Mahwah is a township in Bergen County, New Jersey, United States. As of the 2010 United States Census, the township population was 25,890. The name Mahwah is derived from the Lenni Lenape word "mawewi" which means "Meeting Place" or "Place Where Paths Meet".The area that is now Mahwah was...
(which took over the Middletown Savings Bank locations in New York). The acquisition significantly expanded TD Banknorth’s presence in both Connecticut
Connecticut
Connecticut is a state in the New England region of the northeastern United States. It is bordered by Rhode Island to the east, Massachusetts to the north, and the state of New York to the west and the south .Connecticut is named for the Connecticut River, the major U.S. river that approximately...
and New York and extended the franchise into northern New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
and Philadelphia as well.
TD Banknorth announced acquisition of Interchange Financial Services Corp in April 2006, adding 30 branches in Bergen and Essex counties of New Jersey.
In January 2006, the company finalized acquisition of Boothby & Bartlett Company, a central Maine insurance agency in Waterville.
Banknorth added a sister company, TD Ameritrade
TD Ameritrade
TD Ameritrade is an American online broker with over 6 million U.S. customers, and many more internationally, that has grown rapidly through acquisition to become the 746th-largest US firm in 2008. TD Ameritrade Holding Corporation is the owner of TD Ameritrade Inc...
, which was formed after the Ameritrade Holding Corporation acquired TD Waterhouse USA from Toronto-Dominion Bank in 2006. On November 20, 2006, TD Bank Financial & TD Banknorth entered into an agreement in which TD Bank would acquire all remaining shares of TD Banknorth held by the public for US$32.33 per share in cash. This was completed on April 20, 2007, and TD Banknorth became a wholly owned subsidiary of TD Bank.
On October 2, 2007 Toronto-Dominion announced its plans to acquire Cherry Hill, New Jersey
Cherry Hill, New Jersey
Cherry Hill is a township in Camden County, New Jersey, in the United States. As of the 2010 United States Census, the township had a population of 71,045, representing an increase of 1,080 from the 69,965 residents enumerated during the 2000 Census...
–based Commerce Bancorp
Commerce Bancorp
TD Bank, N.A., is a national banking institution in the United States which offers banking, insurance, brokerage, and investment banking services in Connecticut, Delaware, Florida, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, South Carolina,...
, pending shareholder and regulatory approval. The combined company was to be known as TD Commerce Bank, but in March 2008 Commerce Bank & Trust Company
Commerce Bank & Trust Company
Commerce Bank & Trust Company is an independently owned and operated financial institution based in Worcester, Massachusetts, with 13 branches located throughout central Massachusetts...
of Worcester, Massachusetts
Worcester, Massachusetts
Worcester is a city and the county seat of Worcester County, Massachusetts, United States. Named after Worcester, England, as of the 2010 Census the city's population is 181,045, making it the second largest city in New England after Boston....
filed a lawsuit against TD Banknorth, to bar the bank from using the name TD Commerce Bank in its existing Massachusetts branches. On May 2, 2008, federal Judge F. Dennis Saylor granted a preliminary injunction, prohibiting the use of the TD Commerce name in Massachusetts branches.
Toronto-Dominion then dropped plans to add the Commerce name to its banking operation and instead chose to operate all its branches as "TD Bank".
Miscellaneous Canadian owned US banks
- CIBC World Markets USACIBC World MarketsCIBC World Markets is the investment banking subsidiary of the Canadian Imperial Bank of Commerce. The firm operates as an investment bank both in the domestic and international equity and debt capital markets...
- no retail operations - Harris BankHarris BankBMO Harris Bank is a subsidiary of Montreal-based Canadian bank Bank of Montreal. Today the bank holding company is formally named BMO Bankcorp, Inc....
- RBC CenturaRBC BankRBC Bank, formerly Centura Banks, is the United States retail banking division of the Royal Bank of Canada. The headquarters for the bank are located in Raleigh, North Carolina. Banking centers and automated teller machines are located throughout the Southeastern United States...
- Scotia CapitalScotiabankThe Bank of Nova Scotia , commonly known as Scotiabank , is the third largest bank in Canada by deposits and market capitalization. It serves some 18.6 million customers in more than 50 countries around the world and offers a broad range of products and services including personal, commercial,...
- no retail operations