SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 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): March 28, 1996
H. F. Ahmanson & Company
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(Exact name of registrant as specified in charter)
Delaware 1-8930 95-0479700
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(State or other jurisdiction of (Commission File (IRS Employer
incorporation) Number) Identification No.)
4900 Rivergrade Road, Irwindale, California 91706
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code (818) 960-6311
Not applicable
(Former name or former address, if changed since last report)
<PAGE>
ITEM 5. OTHER EVENTS.
On March 28, 1996, Home Savings of America, FSB, ("Home Savings"), a
wholly-owned subsidiary of H. F. Ahmanson & Company, announced that it had
signed a definitive agreement to purchase the 61 divested branches of First
Interstate Bancorp from Wells Fargo & Company. As part of this
transaction, Home Savings will acquire $2.5 billion of deposits and $1.3
billion in loans.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(a) Financial Statements of Business Acquired.
Not applicable.
(b) Pro Forma Financial Information.
Not Applicable.
(c) Exhibits.
99.1 Press release dated March 28, 1996.
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
Date: March 28, 1996
H. F. AHMANSON & COMPANY
/s/ Tim S. Glassett
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By: Tim S. Glassett
First Vice President and
Assistant General Counsel
<PAGE>
EXHIBIT INDEX
SEQUENTIALLY
EXHIBIT NO. DESCRIPTION NUMBERED PAGE
99.1 Press release dated March 28, 1996.
H. F. AHMANSON & COMPANY HOME SAVINGS OF AMERICA NEWS
SAVINGS OF AMERICA
4900 Rivergrade Road
Irwindale, California 91706
(818) 814-7922
FOR IMMEDIATE RELEASE Contacts:
Media: Mary Trigg
818-814-7922
Investor: Steve Swartz
818-814-7986
HOME SAVINGS OF AMERICA WINS BIDDING FOR
FIRST INTERSTATE BRANCHES
Acquisition Immediately Accretive To Earnings; Accelerates Home Savings'
Transformation To a Full-Service Consumer Bank
Irwindale, CA, March 28, 1996 -- Home Savings of America, principal
subsidiary of H. F. Ahmanson & Company (NYSE:AHM), announced today it has
signed a definitive agreement to purchase the 61 divested branches of First
Interstate Bancorp (NYSE:I) from Wells Fargo & Company (NYSE:WFC). As part
of this transaction, Home Savings will acquire $1.3 billion in loans.
The First Interstate branches being sold comprise 61 retail branches
in 21 California counties with approximately $2.5 billion in deposits.
Approximately 70% of the deposits are concentrated in San Diego,
Sacramento, Kern, Riverside and Ventura Counties.
"This is an unmatched opportunity for Home Savings of America," said
Charles R. Rinehart, Chairman and Chief Executive Officer of Ahmanson and
Home Savings. "It is an opportunistic acquisition that is immediately
accretive to earnings and accelerates our transformation to a leading full-
service consumer bank. We want to reach beyond the traditional services
offered by a thrift and expand our product offerings to individuals and
small businesses. These branches are a major step in that direction; they
provide us with an important critical mass of consumer and small business
customers and people with great expertise in these businesses.
"This transaction is also good for California," Mr. Rinehart
continued. "Home Savings is the state's third-largest financial
institution and has been a major employer and investor in the growth and
success of California for over a century. The addition of these branches,
combined with our strong presence in over 100 markets throughout
California, will significantly add to our ability to provide the financial
products and services needed by consumers and small businesses."
During the past few years, Home Savings has significantly increased
its investment in California. Since 1993, Home Savings has sold major
banking franchises in New York, Illinois, Ohio, and Missouri, while adding
approximately $4.4 billion of deposits through acquisitions in California.
"We welcome the customers and employees of the First Interstate
branches, which are critical components of a successful banking
combination," Mr. Rinehart said. "Our experience, gathered over many past
acquisitions, is that the best way to keep customers is by keeping the
employees who customers know and trust. We are eager to demonstrate to
these customers our desire to serve their financial needs."
The transaction is subject to regulatory approval and is expected to
close during the third quarter of 1996.
The purchase price for the $1.3 billion of loans and the $2.5 billion
of deposits represents a premium of 8.11% of the deposits alone. The
Company expects to consolidate up to 27 branches. A restructuring charge
of $0.06 to $0.09 per fully diluted common share will be recorded for the
consolidation of these branches. "We have carefully evaluated this
transaction. It is an excellent strategic fit for us and it is more
accretive than a stock buyback," said Kevin M. Twomey, Senior Executive
Vice President and Chief Financial Officer.
Smith Barney Inc. acted as financial advisor to H. F. Ahmanson &
Company and Home Savings in the transaction.
H. F. Ahmanson & Company is the parent company of Home Savings of
America, one of the nation's leading residential mortgage lenders, and of
Griffin Financial Services, which provides securities brokerage services
and investment and insurance products. H. F. Ahmanson, which has assets of
$50.5 billion and deposits of $34.2 billion as of December 31, 1995,
currently operates 343 financial service centers in four states and 121
mortgage lending offices in ten states.
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Additional information, including monthly financial data, about
H. F. Ahmanson & Company and Home Savings of America can be retrieved free
of charge using the following services:
Internet: http://www.investquest.com
Fax-on-Demand: (614) 844-3860
On-line BBS: (614) 844-3868
