SunTrust 2004 Annual Report Download - page 5

one of the leading institutional fixed-income boutiques
in the country with over $17 billion in assets under
m a n a g e m e n t. Bank acquisitions that permit us to expand
into particularly desirable geographic markets are another
type of acquisition that we pursue.
Our merger with $23 billion NCF, announced in May
and closed in October 2004, represents the best of
both worlds. Importantly, the move extends our reach
into North Carolina, a state whose growth profile
matches that of our existing footprint, and also West
Virginia. The acquisition reinforces our presence in
Tennessee, providing our first banking offices in the ve r y
a t t r a c t i v e Memphis marke t, as well as in South C a r o l i n a ,
Georgia, Florida and Virginia.
The NCF merger brings significant business o p p o r t u n i t i e s
to SunTrust as we offer access to SunTrust’s broader
capabilities, such as wealth management, securities and
capital markets-related services, to former NCF cus-
tomers in our new markets. The merger also means t h a t
S u n Trust can t a ke advantage of NCF’s nationally re c-
o g n i z ed capabilities in “de novo” and in-store branching.
N C F, for example, is well known for its innov a t i ve
banking centers in Wal-Mart stores, a program slated
for expansion under the SunTrust name.
The NCF merger added approximately $14.6 billion in
loans and $15.8 billion in deposits to S u n Trust and
i n c reased our branch count by ro u g h l y 40%, bringing
our total branch network to morethan 1,700 offices in
11 states and the District of Columbia, one of the nation’s
largest retail distribution networks. From a financial
perspective the transaction, which was well received by
the investment community, is adding to SunTrust’s
earnings base.
Next Generation Executive Management
As SunTrust has grown in size, scope and complexity,
our exe c u t i ve management structure has also evo lve d .
In recent years we have placed an increased emphasis
on formalized “talent management,” which includes
the development of management succession plans for
all key positions at the Company. In 2004, we were
a b l e to smoothly accommodate the planned re t i re m e n t
of three of our most senior and respected executives
without missing a beat in the implementation of o u r
business strategies.
In July, SunTrust’s long-time Chief Financial Officer,
John W. Spiegel, announced plans to re t i r e after 40 ye a r s
with the Company. Later in the year, SunTrust Vice
Chairmen, John W. C l a y, J r . and T h e o d o r e J. Hoepner, also
announced retirement plans, effective in 2005 after
re s p e c t i ve 38-year and 37 - year S u n Trust careers. Messrs.
Spiegel, Hoepner, and Clay w e re instrumental in making
S u n Trust the successful, respected institution it is
today. They will be missed.
These planned retirements triggered a series of senior
management appointments at the corporate head-
quarters level, reporting to the Chief Executive Officer.
Perhaps most significant was the designation of James
M. Wells III, previously a Vice Chairman, as SunTrust’s
P resident and Chief Operating O f f i c e r, a new position at
the Company.
S u n Trust also named a new Chief Financial O f f i c e r
(Mark A. Chancy), Chief Risk Officer (Robert H.
Co o r ds), Chief C redit Officer (Carl F. Mentzer), and
Chief Administrative Officer (David F. Dierker). Each of
these executives brings to their new responsibilities
demonstrated experience and a track re c o r d of success.
These moves sparked the activation of management
succession plans elsewhere in the organization. As a
result, we have smoothly put in place a framework for
the next generation of exe c u t i ve management at
S u n Trust while ensuring continued and consistent
management attention to our day-to-day business
priorities and performance imperatives.
Sharpened Client Focus
Enhancing our position as a leader in our markets means
d i f f e r entiating o u r s e lves f rom the competition. At
S u n Tr u s t , we seek to do that t h rou gh a concentrated
focus on understanding, and meeting, client needs.
The section of this year’s Annual Report following this
letter is intended to convey the essence of SunTrust’s
client focus.
S U N T R U S T 2 0 0 4 A N N U A L R E P O R T3
We have dedicated significant
re s o u rces to identifying with gre a t
precision what our clients expect
from us.
The NCF merger brings significant
business opportunities to S u n Tr u s t
as we offer access to S u n Tr u s t ’s
b roader capabilities to f o r m e r
NCF customers.