Boatmen's Bancshares
| Company type | Public |
|---|---|
| Industry | Banking, Financial services |
| Founded | February 16, 1847 in St. Louis, Missouri, U.S. |
| Founder | George Knight Budd |
| Defunct | 1996 |
| Fate | Acquired by NationsBank |
| Headquarters | St. Louis , United States |
Area served | United States (primarily Midwest) |
Key people | William H. T. Bush (President 1978–1986) |
| Products | Banking services |
Number of employees | 17,863 (1995) |
Boatmen's Bancshares Inc. ranked among the top 30 bank holding companies in the United States at the time it was acquired by NationsBank in 1996. Before this acquisition, Boatmen's was listed on the NASDAQ stock exchange under the symbol BOAT.
Established in St. Louis, Missouri in 1847, it held the distinction of being the oldest financial institution west of the Mississippi River when it was purchased.
History
The bank was founded by George Knight Budd, whose family wealth originated in Philadelphia. Budd served as a councilman in St. Louis and played a key role in securing land for city projects, including the construction of St. Louis City Hall.
Originally created as Boatmen's Savings Institution, its mission was to cater to working-class individuals, many of whom were employed on riverboats along the Mississippi. The institution received its state charter on February 16, 1847, initially offering depositors a 3% interest rate and investing its first $1,000 into a 6% municipal bond.
In its early years, the bank faced significant obstacles such as the 1849 cholera epidemic and the Great St. Louis Fire, both of which severely impacted local infrastructure. In 1854, a scandal arose involving Joseph Thornton, the bank’s secretary, who was implicated in a robbery that caused considerable legal and reputational damage.
An unusual incident in 1855 prevented a potential bank run when a madame from a local bordello made a substantial deposit of $4,500 in gold.
The institution underwent several name changes: becoming Boatmen's Saving Bank in 1873, Boatmen's Bank in 1890, and then Boatmen's National Bank of St. Louis in 1926 upon receiving its national charter. The formation of Boatmen's Bancshares as a holding company occurred in 1969, marking the beginning of regional expansion through acquisitions such as CharterCorp based in Kansas City and General Bancshares.
By the 1980s, after acquiring Centerre Bancorporation, it had become Missouri’s largest banking organization. In 1981, its headquarters relocated to the newly constructed 31-story Boatmen's Bank Building located in Downtown St. Louis.
William H. T. Bush, sibling of President George H. W. Bush, held the position of bank president from 1978 until 1986.
In early 1992, Boatmen's Bancshares expanded by acquiring First Interstate of Iowa Inc., which was traded on NASDAQ under FIIA. By 1995, the company managed assets totaling $33.4 billion and employed approximately 17,863 people. That year also saw acquisitions of Fourth Financial Corporation and Worthen Banking Corp., with Worthen being publicly listed on the American Stock Exchange.
The purchase of Boatmen's by NationsBank occurred in 1996 for $9.6 billion; subsequently, NationsBank merged with another entity and adopted the name Bank of America.