SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) FEBRUARY 2, 1998
FLEET FINANCIAL GROUP, INC.
(Exact name of registrant as specified in its charter)
RHODE ISLAND
(State or other jurisdiction of incorporation)
1-6366 05-0341324
(Commission File Number) (IRS Employer Identification No.)
ONE FEDERAL STREET, BOSTON, MASSACHUSETTS 02110
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (617) 346-4000
(Former name or former address, if changed since last report)
<PAGE>
Item 5. OTHER EVENTS.
Pursuant to Form 8-K, General Instructions F, Registrant hereby
incorporates by reference the press release attached hereto as Exhibit 99.
Item 7. FINANCIAL STATEMENTS AND OTHER EXHIBITS.
EXHIBIT NO. DESCRIPTION
Exhibit 99 Fleet Financial Group, Inc.
Press Release
Dated February 2, 1998
[CONTINUED ON FOLLOWING PAGE]
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed in its behalf
by the undersigned hereunto duly authorized.
FLEET FINANCIAL GROUP, INC.
Registrant
By /s/ William C. Mutterperl
--------------------------------
William C. Mutterperl
Senior Vice President,
Secretary and General Counsel
Date: February 2, 1998
EXHIBIT 99
FOR IMMEDIATE RELEASE
CONTACTS: MEDIA: JAMES E. MAHONEY CHARLES G. SALMANS
FLEET FINANCIAL GROUP QUICK & REILLY
(617) 346-5472 (212) 747-6885
INVESTOR: THOMAS R. RICE
FLEET FINANCIAL GROUP
(617) 346-0148
FLEET FINANCIAL GROUP COMPLETES PURCHASE OF QUICK & REILLY
BOSTON, MASS., FEBRUARY 2, 1998 - Fleet Financial Group, Inc. (NYSE: FLT)
today announced that it has completed the acquisition of Quick & Reilly Group,
Inc., one of the nation's largest discount brokerage firms, and holding company
for four other financial services firms. The stock-for-stock transaction,
announced September 17, 1997, has a value of approximately $1.6 billion. Quick &
Reilly shareholders received 0.578 shares of Fleet common stock for each share
of Quick & Reilly.
Quick & Reilly is a highly profitable financial services firm with gross
revenues for the most recently reported nine months, ended November 30, 1997, of
approximately $480 million. It consists of Quick & Reilly, Inc., the first New
York Stock Exchange member firm to offer discount commission rates to
individuals, with a network of 117 Investor Centers nationwide; U.S. Clearing,
which provides clearing and execution services for more than 350 brokerage and
banking firms; JJC Specialist, the second largest specialist firm on the floor
of the New York Stock Exchange, which makes markets in stocks and other
securities for 278 companies listed on the Big Board; Nash, Weiss, one of the
nation's leading NASDAQ market makers, which makes a market in 3,500 over the
counter (OTC) stocks; and SURETRADE, launched in November as a separate Internet
securities broker dealer, with nearly 50,000 accounts.
Quick & Reilly will retain its name and management team and operate within
Fleet's Investment Management Services division. Quick & Reilly's management
will report to Fleet vice chairman Gunnar Overstrom, who oversees all of Fleet's
investment services businesses.
Thomas C. Quick, president and chief operating officer of Quick & Reilly,
has been elected to the Board of Directors of Fleet Financial Group, Inc.
Terrence Murray, chairman and chief executive officer of Fleet said, "The
acquisition of Quick & Reilly is a key step in our transformation into a
diversified financial services company, creating a national distribution
platform for Fleet investment products, adding a significant new source of
fee-based income to Fleet's revenue base and furthering our long-standing goal
of providing a much broader set of financial solutions to our customers.
"The addition of Quick & Reilly to the Fleet franchise will have an
immediate impact operationally, as it so strongly compliments our existing
portfolio of financial solutions," said Mr. Murray. "Quick & Reilly's Internet
services, for example, are a powerful new way for Fleet customers to
conveniently trade securities and manage their investments. SURETRADE, Quick &
Reilly's new Internet brokerage service, which now offers the lowest cost trades
on the Internet, has attracted nearly 50,000 accounts in less than three months
since its launch, and is one of the fastest Internet commerce start-ups ever.
"In Quick & Reilly, we have a tremendous distribution platform and exciting
business opportunity. In 1998, we will utilize the Quick & Reilly platform to
expand the investment products and services available to our customers and to
begin cross-selling other Fleet products, such as mortgages and credit cards,"
said Mr. Murray.
Fleet Financial Group recently reported record results and strong financial
ratios for 1997. Fleet reported net income of $1.303 billion. Return on assets
(ROA) and return on equity (ROE) were 1.59% and 19.53% respectively. Fleet also
reported an efficiency ratio which improved to 56.2% compared with 60% in 1996,
reflecting Fleet's continued emphasis on productivity and efficiency.
Fleet Financial Group, headquartered in Boston, is an $85.5 billion
diversified financial services company listed on the New York Stock Exchange
(NYSE: FLT). The nation's sixth largest commercial lender and New England's
leading small business lender, Fleet's lines of business include consumer
banking, government banking, mortgage banking, corporate finance, commercial
real estate lending, insurance services, discount brokerage services, equipment
leasing and asset-based lending. Fleet also provides investment management
services for both individuals and institutional clients and currently has over
$75 billion in assets under management. With 1,200 branches and over 2,300 ATMs,
Fleet also provides 24-hour telephone banking as well as electronic banking
services through the Fleet PC Banking Center.
