Standard Federal Bank
| Company type | Public (after 1987 IPO) |
|---|---|
| Industry | Banking |
| Predecessor | Workman's Savings and Loan Association |
| Founded | April 25, 1893 in Detroit, Michigan, United States |
| Defunct | May 5, 2008 |
| Fate | Acquired by Bank of America |
| Successor | Bank of America |
| Headquarters | Troy, Michigan , United States |
Area served | Michigan and Northern Indiana (also northwest Ohio after 1991) |
| Products | Banking services |
| Owner | ABN AMRO (1997–2007), then Bank of America (2007–2008) |
| Parent | Standard Federal Bancorporation, Inc. (until 1997), ABN AMRO (1997–2007), Bank of America (2007–2008) |
Standard Federal Bank, headquartered in Troy, Michigan, operated in both Michigan and Northern Indiana before its acquisition by Bank of America on May 5, 2008.
By 2005, Standard Federal held the distinction of being Michigan's largest bank in terms of retail branch count (265), ATM network (exceeding 1,000 machines), and deposits totaling $23.3 billion, capturing a 15.06% market share. It ranked second statewide in asset size.
Following its purchase by ABN AMRO, the bank was rebranded as LaSalle Bank Midwest in 2005. Subsequently, Bank of America acquired LaSalle Bank Corporation, which encompassed Standard Federal, on October 1, 2007. By May 5, 2008, all former Standard Federal branches had transitioned to the Bank of America brand.
History
Established on April 25, 1893, as Standard Savings & Loan Association, the institution assumed the charter from Workman's Savings and Loan Association. Its original offices were located in downtown Detroit before relocating headquarters in 1927 to the corner of Griswold and Jefferson—a site historically recognized as "the Cornerstone of Detroit." That year, assets exceeded $10 million.
Despite the economic turmoil following the 1929 stock market crash and throughout the Great Depression, Standard Federal remained financially stable while numerous Detroit banks failed. The bank inaugurated its first branch office in Northwest Detroit in 1948.
In 1950, it secured a federal charter that broadened its lending authority and adopted the name Standard Federal Savings & Loan Association. The first suburban location opened in Royal Oak in 1957, coinciding with assets reaching $100 million.
Mergers and acquisitions
The merger with Birmingham Federal Savings (Michigan) in 1970 led to relocating headquarters to Birmingham on Woodward Avenue near Big Beaver Road. By 1973, assets had grown to $1 billion, prompting a move to a larger facility at 2401 Big Beaver Road in Troy.
The bank's growth strategy included acquiring Wayne Federal Savings (1975), First Federal Savings of Niles (1980), Landmark Savings and Loan serving Saginaw/Bay City, and First Savings Association of Dowagiac (1981). Its most significant consolidation occurred in November 1983 with the acquisition of four Indiana-based institutions: American Federal Savings, First Federal Savings, Fort Wayne Federal Savings, and South Bend Federal Savings and Loan Association. By 1984, total assets had reached $5 billion.
On January 1, 1985, Standard Federal transitioned from a federally chartered mutual savings and loan association to a federally chartered mutual savings bank and adopted the name Standard Federal Bank. Later that year on August 28, the board authorized conversion from mutual ownership to stock ownership. At the close of 1986, Standard Federal operated 83 offices across sixteen counties spanning Michigan and Indiana, including 78 full-service branches. The initial public offering on the New York Stock Exchange on January 28, 1987 represented one of the thrift industry's largest stock conversions by dollar volume.
Additional acquisitions included Tower Federal Savings Bank of South Bend (1988), First Federal Savings and Loan Association of Kalamazoo, and Peoples Savings Bank in Monroe (both acquired in 1989). Expansion into Ohio occurred in 1991 through acquiring United Home Federal Savings and Loan Association of Toledo, enhancing presence in northwest Ohio. In 1992, it added First Federal Savings and Loan Association of Lenawee County located in Adrian, Michigan.
Marking its centennial anniversary in April 1993, Standard Federal was recognized as the largest thrift institution in the Midwest and seventh largest nationwide with assets near $10 billion. That December saw its largest acquisition to date: Heritage Federal Savings Bank based in Taylor, Michigan. Subsequent purchases included InterFirst Bankcorp (1993), Colonial Central Savings Bank (1994), and Fidelity Savings Bank (1996). On May 1, 1995, Standard Federal reorganized under a holding company structure named Standard Federal Bancorporation, Inc.
Acquisition by ABN AMRO
On November 21, 1996, ABN AMRO reached an agreement to acquire Standard Federal Bancorporation for $1.9 billion, with the transaction concluding on May 1, 1997. At that point, Standard Federal stood as the largest savings institution in the Midwest and ranked as Michigan's fourth biggest bank. By December 31, 1996, the bank reported $15.7 billion in total assets, $11.0 billion in customer deposits, $10.5 billion in loans managed on behalf of others, and stockholders' equity amounting to $956.8 million.
In 2001, ABN AMRO took over Michigan National Bank and integrated it into Standard Federal, adopting Michigan National's national bank charter. This merger resulted in the closure of 59 overlapping branches and established Standard Federal as Michigan’s bank with the greatest number of branches.
Transition to LaSalle Bank Branding
On September 12, 2005, ABN AMRO along with its U.S. affiliate LaSalle Bank Corporation rebranded Standard Federal Bank N.A. under the name LaSalle Bank Midwest N.A. This strategic "brand consolidation" unified marketing initiatives with Chicago-based LaSalle Bank N.A.
Divestiture to Bank of America
On April 23, 2007, ABN AMRO declared its intention to sell LaSalle Bank Corporation to Bank of America for $21 billion, receiving a net amount of $16 billion after returning $5 billion in surplus capital. Although a bidding dispute was raised by a consortium led by Royal Bank of Scotland, the Dutch Supreme Court authorized the transaction. The acquisition was completed by Bank of America on October 1, 2007; subsequently, LaSalle Bank Midwest adopted the Bank of America name on May 5, 2008.