CoreStates Financial Corporation
| Company type | Public |
|---|---|
| Industry | Banking, Financial services |
| Predecessor | Philadelphia National Bank, Hamilton Bank, New Jersey National Bank, First Pennsylvania Bank |
| Founded | September 8, 1803 (as The Philadelphia Bank) |
| Fate | Acquired by First Union Corporation in 1998 |
| Headquarters | Philadelphia , United States |
Area served | United States |
Key people | George W. Strawbridge Jr. (director and largest individual shareholder after 1995) |
| Products | Banking services, Corporate lending |
| Parent | First Union Corporation (after 1998), later Wachovia Corporation, then Wells Fargo (after 2008) |
CoreStates Financial Corporation, originally known as Philadelphia National Bank (PNB), was a significant American bank holding company headquartered in the Philadelphia metropolitan region. Following a series of mergers in the mid-1980s, the company adopted the CoreStates name. It was eventually absorbed by First Union Corporation, which subsequently merged with Wachovia National Bank to create Wachovia Corporation. In 2008, CoreStates became part of Wells Fargo after Wachovia's acquisition.
Philadelphia National Bank and First Pennsylvania Bank
Established on September 8, 1803, under the name The Philadelphia Bank with George Clymer serving as its inaugural president, this institution later evolved into Philadelphia National Bank (PNB). Philadelphia had long been a central hub for banking in the United States, hosting the First and Second Banks of the United States, as well as prominent financiers such as Nicholas Biddle.
Although PNB was neither the oldest nor the most aggressive bank in the region, those distinctions belonged to First Pennsylvania Bank. Originally founded in 1809 as an insurance firm, First Pennsylvania traced its lineage back to the Bank of North America, which was America's first chartered bank established in 1781. Through a series of consolidations—including mergers with Commercial Trust Company and First National Bank—First Pennsylvania developed a more risk-oriented profile and expanded its ambitions.
In contrast, PNB earned a reputation for fiscal conservatism and community engagement. It was among the first banks in the late 1960s to combat "redlining," extending credit services to underserved neighborhoods for both individuals and small businesses. During the 1970s, PNB also became a pioneer in ATM technology by establishing one of the largest Money Access Center (MAC) networks nationwide.
By the late 1970s and into the 1980s, faced with intensifying competition and industry consolidation, PNB broadened its international presence through its subsidiary Philadelphia International Bank (PIB), which maintained offices in London and New York City. It actively targeted markets in oil-rich Middle Eastern countries through correspondent banking arrangements. While First Pennsylvania suffered significantly during the real estate slump of the late 1970s—resulting in its acquisition by PNB in 1990—PNB’s cautious approach allowed it to preserve stability and continue growing throughout this challenging era.
Formation of CoreStates
The initial merger involving PNB occurred in 1982 with Hamilton Bank from central Pennsylvania; subsequently, it acquired New Jersey National Bank located in Trenton, New Jersey. The merger between PNB and Hamilton gave rise to CoreStates Financial Corporation. CoreStates also operated Bank of Delaware, which focused on corporate lending and counted major clients such as chemical industry leader DuPont among its accounts. Following its acquisition of First Pennsylvania Bank in 1990, CoreStates/PNB invested $20 million to secure a 20-year naming rights agreement for Philadelphia’s new arena, dubbed the "CoreStates Center," significantly boosting brand recognition.
In 1995, CoreStates executed its largest takeover by acquiring Meridian Bancorp for $3.2 billion. George W. Strawbridge Jr., a director at Campbell Soup Company and a substantial Meridian shareholder, joined CoreStates’ board and became its largest individual shareholder, strengthening connections between the bank and key regional enterprises like Campbell Soup Company.
Acquisition by First Union
During the wave of regional bank consolidations in the late 20th century, CoreStates was purchased by First Union Corporation, based in Charlotte, North Carolina, in 1998. Valued at $17 billion, the merger between CoreStates and First Union set a record as the largest bank consolidation in U.S. history at that time. Later, in 2001, First Union acquired Wachovia National Bank and adopted the Wachovia name for its brand identity.
After suffering substantial financial setbacks amid the 2008 financial crisis, Wachovia was ultimately taken over by Wells Fargo, headquartered in San Francisco, California.
Headquarters building
The original headquarters located at Broad and Chestnut Streets in Center City Philadelphia is currently known as One South Broad. This building is distinguished by its large bell that historically chimed at noon across the city’s financial hub. The focal point of the district moved westward following the 1976 debut of First Pennsylvania Bank’s twin Centre Square towers, which prominently feature Claes Oldenburg’s renowned Clothespin sculpture.
In 1973, the bank established an additional office complex for its operations division at Fifth and Market Streets on Independence Mall. Reflecting a strong commitment to civic engagement, the bank also undertook a redesign of the nearby SEPTA 5th Street/Independence Hall subway station. This renovation earned international recognition for its creative application of colors and materials.