Marshall & Ilsley
| Company type | Public |
|---|---|
| Industry | Banking, Financial services |
| Founded | 1847 |
| Founder | Samuel Marshall, Charles Ilsley |
| Defunct | 2011 |
| Fate | Acquired by Bank of Montreal |
| Headquarters | Milwaukee , United States |
Area served | United States (primarily Wisconsin, Arizona, Florida, Indiana, Minnesota, Missouri, Nevada) |
| Products | Banking, Financial services |
| Parent | Bank of Montreal (from 2011) |
Marshall & Ilsley Corporation—commonly referred to as M&I Bank—was an American bank and multifaceted financial services company headquartered in Milwaukee, Wisconsin. It was acquired by Bank of Montreal in 2010.
Established in 1847, M&I had amassed assets totaling $63.5 billion and operated more than 250 branches by 2008. Following its acquisition, Bank of Montreal incorporated M&I into its U.S. subsidiary, Harris Bank.
History
Samuel Marshall launched an exchange brokerage offering banking services in Milwaukee in 1847, despite Wisconsin's initial prohibition on state-chartered banks. Two years later, in 1849, Charles Ilsley became a partner, leading to the firm’s renaming as Marshall & Ilsley. In 1852, the company received Wisconsin’s first state bank charter in Madison.
M&I was recognized for its prudent management style, which enabled it to endure significant economic downturns such as the Panic of 1893 and the stock market crash of 1929. After divesting its Madison branch late in the 19th century, the bank concentrated its operations exclusively in Milwaukee for over sixty years. Growth resumed in 1958 when M&I reorganized under Bank Stock Corporation of Milwaukee and acquired Northern Bank and Bank of Commerce. Due to regulatory changes in 1969, the Bank of Commerce was sold off; however, this allowed the company to pursue acquisitions outside Milwaukee. In 1971, the holding company adopted the name Marshall & Ilsley Corporation.
The bank expanded beyond Wisconsin by purchasing Thunderbird Bank in Arizona in 1986. The following year, it made an unsuccessful hostile bid for Marine Corporation, which was ultimately acquired by Banc One Corporation. Nevertheless, M&I acquired Central Wisconsin Bankshares for $83.6 million during that period.
In 1993, M&I merged with Valley Bancorporation of Wisconsin through a stock transaction valued at $875 million, adding 155 branches primarily located within Wisconsin.
In December 2006, M&I announced plans to acquire United Heritage Bankshares of Florida, which operated 13 branches around Orlando.
Metavante Corporation—previously known as Marshall and Ilsley Data Services—was spun off as an independent publicly traded company on the New York Stock Exchange in 2007.
On January 2, 2008, M&I finalized a $529 million purchase of First Indiana (), which added 32 branches across central Indiana.
In late summer 2010, M&I completed the acquisition of Southwest Bank based in St. Louis.
By mid-2009, M&I was among more than 150 U.S. financial institutions with nonperforming loan ratios exceeding 5 percent—a regulatory benchmark indicating potential equity depletion.
Acquisition and BMO Harris Bank
On December 17, 2010, Bank of Montreal (BMO) announced an all-stock agreement to acquire Marshall & Ilsley for approximately $4.1 billion. The merger integrated M&I with BMO’s Chicago-based subsidiary Harris Bank, culminating on October 9, 2012 with the formation of BMO Harris Bank.
At that time, M&I maintained:
- 194 branches throughout Wisconsin
- 45 locations in Arizona
- 17 offices serving the Kansas City Metropolitan Area
- 17 branches along Florida’s west coast
- 26 offices within the Twin Cities area plus one in Duluth, Minnesota
- 1 branch in Las Vegas, Nevada
- 16 offices around St. Louis
- 32 branches across greater Indianapolis
On April 5, 2011, executives revealed that the combined institution would be branded "BMO Harris Bank," featuring a logo consistent with BMO’s identity but replacing "Bank of Montreal" wording with "Harris Bank." The rebranding process concluded after approximately eighteen months on October 9, 2012.
BMO Financial Group completed its acquisition of Marshall & Ilsley Corporation on July 5, 2011 via its subsidiary BMO Financial Corp. Simultaneously, M&I Marshall & Ilsley Bank and M&I Bank N.A. merged into The Harris Bank N.A., establishing BMO Harris Bank National Association as the consolidated company's legal banking entity.