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Compass Bancshares Inc

Business Profile
Compass Bancshares Inc. is a financial services firm headquartered in Birmingham, Alabama. The Company was established in 1970 as Central and State National Corporation of Alabama. Compass Bancshares operates through two subsidiary banks. The parent Company provides capital support to its subsidiaries, and supervises and coordinates their operations. Compass Bank is the principal banking subsidiary of the Company. Compass Bank is also headquartered in Birmingham, Alabama. Compass Bank currently has its operations in Alabama, Texas, Colorado, Arizona, Florida, and New Mexico. Central Bank of the South, an Alabama based Banking Corporation is another subsidiary of the Company. Central Bank of South is headquartered in Anniston, Alabama.

In February 2007, the Company signed an agreement to be acquired by Banco Bilbao Vizcaya Argentaria, S.A. (BBVA), through a combination of stock and cash. The transaction comprised of approximately 196 million common stocks of BBVA and $4.6 billion in cash. BBVA operates in about 35 countries and has substantial banking presence in Americas. The Combined Company will have approximately $32 billion in total loans, $47 billion in total assets and $33 billion in total deposits. The Company will become a fully-owned subsidiary of BBVA after closing of the transaction.

Compass Bank carries out a trust and commercial banking business through 415 bank branches, including 164 in Texas, 75 in Arizona, 89 in Alabama, 33 in Colorado, 44 in Florida, and 10 in New Mexico. The bank also operates loan production branches in Kentucky, Georgia and Maryland.

The bank’s offers a broad range of banking products and services including demand and time deposits, commercial and personal loans, and Commercial and personal checking accounts. Compass Bank also offers an array of fiduciary services, such as portfolio administration and management and investment services to trusts, estates, and employee benefit plans through its Wealth Management business and fully owned subsidiaries - Stavis, Margolis Advisory Services, Inc. and St. Johns Investment Management Company. The bank also provides term life insurance, property and casualty insurance, fixed-rate annuities, and other insurance products through its fully owned subsidiary, Compass Insurance Agency, Inc. The bank’s loan products and services are offered through its subsidiaries Arizona Financial Products, Inc., Compass Mortgage Corporation, Liquidity Advisors, L.P. and Compass Southwest, L.P. The bank offers a broad range of investment products and services to individual and institutional investors such as institutional sales, safekeeping, bond accounting, and interest rate risk analysis through its Correspondent and Investment Services Department.

The bank’s discount brokerage services, mutual funds and variable annuities products to businesses and individuals are offered through its fully owned subsidiary Compass Brokerage Services, Inc. Compass Financial Corporation, another fully owned subsidiary; offers lease financing services to businesses and individuals.
The Company’s common stock is listed on the Nasdaq Stock Market under the ticker CBSS and Capital Securities of Compass Trust III are listed on the New York Stock Exchange.

The Company’s net interest income increased 15% to $1,115.1 million in 2006 from $969.0 million in 2005. The Company’s net income increased 14.6% to $460.4 million in 2006 from $401.8 million in 2005. During the same period, the Company’s average assets grew 12.1% to $33.0 billion as of December 31, 2025 from 29.4 billion as of December 31, 2005. Compass’ provision for loan losses declined 23.9% to $89.7 million in 2006 from $117.8 million in 2005 reflecting improvement in credit quality of the Company’s assets. The Company’s average total equity increased 19.8% to $2.6 billion as of December 31, 2025 from $2.2 billion as of December 31, 2005.

The Company has organized itself into four major business segments – Corporate Banking, Retail Banking, Wealth Management and Treasury.

Corporate Banking provides a broad range of investment and banking services to commercial, business and institutional clients across the bank’s area of operation. The segment also offers Community Banking in six US states and a National Industries unit which serves large national accounts, primarily in targeted industries. The segment’s products and services include deposit and credit products, treasury management, accounts receivable purchasing, leasing, international services, asset-based lending, insurance and interest rate hedging and investment products.

Retail Banking serves the bank’s retail customers and operates through a variety of banking channels such as 415 full-service bank branches, telephone banking and online channels. The segments key products include home mortgages, deposit accounts, debit and credit cards, insurance products, brokerage services and mutual funds. The segment also serves the small business clients.

Wealth Management offers management of investment portfolio, credit products, financial counseling, traditional estate and trust services, and personalized services to the bank’s private customers and foundations. The segment also offers retirement services and investment management to various companies and their staff.

Treasury manages the portfolio of investment securities, deposits of public entity, interest rate sensitivity of the bank’s balance sheets, and the funding and liquidity positions of the bank.