announced Monday morning that they are following the trend of bank mega-mergers. The combination of the two will keep Wachovia in place as the nation's fourth largest bank and 18th largest fund family.
SouthTrust managed $2 billion in mutual funds at year's end, while Wachovia managed $104 billion.
| What Will Happen to These Funds?
| SouthTrust Fund Family |
| SouthTrust Growth Fund |
| SouthTrust Value Fund |
| Federated Kaufmann Fund A |
| Federated International Equity Fund A |
| SouthTrust Bond Fund |
| SouthTrust Income Fund |
| SouthTrust Alabama Tax-Free Income Fund |
| SouthTrust U.S. Treasury Money Market Fund |
| Source: SouthTrust website
Wachovia's plans for SouthTrust's fledging fund family could not be learned. A Wachovia spokeswoman declined to comment except to say that there will be no immediate changes to all services and products offered by the banks.
SouthTrust Funds, SouthTrust's proprietary mutual fund family, encompasses eight funds, including two offered by Federated. Wachovia Securities offers more than 100 funds through subsidiaries, including Evergreen Investments.
Charlotte, North Carolina-based Wachovia manages $251 billion in assets, compared to SouthTrust's $10 billion, according to SouthTrust executives. Wachovia is touting the deal as a strategic move into quickly growing Southeastern metropolitan statistical areas. SouthTrust is headquartered in Birmingham, Alabama and will take on Wachovia's brand.
Wallace Malone, chairman and chief executive officer of SouthTrust, will serve as vice chairman of Wachovia. Malone said in a Monday morning conference call
that he expects to retire "in the not too distant future."
The deal is expected to close in the fourth quarter.
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