Marshall & Ilsley Corp
July 5, 2011 – 5:12 pm
Business Profile
Marshall & Ilsley Corporation is bank and financial holding firm established in 1959 and is headquartered in Milwaukee, Wisconsin. As at December 31, 2006, the Company had total assets of $56.2 billion and total deposits of $34.1 billion. The Company operates through its bank and non bank subsidiaries which include Metavante Corporation, and five trust and bank subsidiaries. The Company provides managerial supervision and financial assistance to its subsidiaries including tax planning, budgeting, compliance assistance, auditing, assets and liabilities management, business development and advertising.
The Company’s common stock is listed on the New York Stock Exchange under the ticker “MI”. As at December 31, 2006, the Company and its subsidiaries employed approximately 14,699 people.
The Company has grown internally as well as through acquisition.
• Metavante acquired VICOR, Inc. in September 2006
• M&I acquired Gold Banc Corporation, Inc. and Trustcorp Financial, Inc. in April 2006
• Southwest Bank acquired Missouri State Bank in July 2006
• Marshall & Ilsley Trust Company National Association acquired the asset and trust management of FirstTrust Indiana
• Metavante acquired AdminiSource Corporation in January 2006
The Company’s net interest income increased 18.0% to $1,439.7 million in 2006 from $1,220.4 million in 2005.
The Company’s non interest and other income also increased 11.6% to $1,915.4 million in 2006 from $1,716.3 million in 2005. Marshall & Ilsley’s net income increased 14.4% to $807.8 million in 2006 from $706.2 million in 2005. The Company’s average total assets increased 21.6% to $52.7 billion as of December 31, 2006 compared with $43.3 billion as of December 31, 2005. During the same period, the Company’s average net loans and leases increased 23.3% to $38.7 billion as of December 31, 2006 compared with $31.4 billion as of December 31, 2005. The Company’s average total investment securities increased 13.9% to $7.3 billion as of December 31, 2006 compared with $6.4 billion as of December 31, 2005. The Company’s average total deposit grew 21.0% to $31.6 billion as of December 31, 2006 compared with $26.1 billion as of December 31, 2005. The Company’s average total equity increased 28.5% to $5.6 billion as of December 31, 2006 from $4.4 billion as of December 31, 2005.
Marshall & Ilsley Corporation has organized its business into two major segments: Banking and Data Services.
Banking Operations. The segment includes the Company’s banking subsidiaries and offers a comprehensive portfolio of financial services to businesses, individuals, governments. The bank’s subsidiaries provide institutional, business, retail, correspondent and international investment and banking services. The segment operates through 312 branch banking centers including 194 in Wisconsin, 46 in Arizona, 17 in Kansas City, 17 in Florida, 17 in metropolitan St. Paul/ Minneapolis, one in Minnesota, three in Oklahoma, and one in Nevada. The Company’s Southwest Bank subsidiary has 16 branches in St. Louis area. In addition, the Company also offers telephone banking as well as Internet banking channels. Marshall & Ilsley Bank is the Company’s largest banking subsidiary and has total assets of $48.0 billion as of December 31, 2006.
Banking operations’ major products and services include loans to retail customers such as credit cards, automobile leases and loans, lines of credit, student and personal loans, mortgage refinancing, and home equity and residential mortgage loans. The segment also offers leasing and loan services and products to small businesses, large institutions and commercial clients. These include credit cards, lines of credit, business loans, standby letters of credit, loans sponsored by government, financing for commercial real estate and construction, and leases for equipment and machinery. The Company also operates various specialized divisions / subsidiaries dealing in specific financial products:
• Home Lending Solutions division originates lines of credit and mortgage loans under the wholesale lending program.
• M&I Business Credit, offers short term working capital financing to corporate customers. These are typically secured with marketable assets such as inventory and accounts receivables.
• M&I Dealer Finance offers installment sale and vehicle lease financing to retail customers.
• M&I Support Services Corp supports banking operations with deposit and loan account maintenance and processing, and other financials and banking services.
The bank also carries out securitization for various loans such as automobile loans.
Data Services Operations. The data services activity of the Company is carried out through Metavante Corporation. The segment offers financial and payment technologies to businesses and financial services companies. These services include account processing for trust, loan and deposit systems, conventional and image-based check processing, electronic funds transfer, health care payments processing, and electronic payment and presentment.
Metavante operates through two divisions: Payment Solutions and Financial Solutions. Financial Solutions division includes trust and banking solutions, which offers integrated services and products including customer management and account (loan, deposit and investment accounts) management. Payment Solutions division offers solutions such as presentment and payment of electronic bill; electronic funds transfer; presentment of electronic check; PIN-debit and signature services; processing of card account; automated clearing house; FSA/HSA/HRA payment cards; balance transfer; ATM driving; and processing of merchant and gateway.
The Company’s other non bank subsidiaries include Marshall & Ilsley Trust Company National Association, M&I Investment Management Corp., M&I Capital Markets Group L.L.C., M&I Capital Markets Group II, L.L.C., M&I Ventures L.L.C., M&I Brokerage Services, Inc., M&I Insurance Services, Inc., M&I Equipment Finance Company, and M&I Community Development Corporation.