Today's News

WASHINGTON

The House Ways and Means Committee approved a bill that would create a new tax break for banks and other financial companies operating overseas. Page 3

REGIONAL BANKING

Banc One is expected by analysts to sell as many as 200 small-town and rural branches during the next couple of years. Page 5

COMMUNITY BANKING

BankUnited, one of a handful of large independent institutions left in Florida, is buying rivals in what may be a strategy to sell itself. Page 6

Wisconsin bankers are fighting a legislative proposal that would reduce penalties for forging checks for less than $1,000. Page 7

An expansion-minded Ohio credit union applied for a federal mutual thrift charter, calling this its only growth option. Page 7

MORTGAGES

The business of lending to consumers who don't qualify for bank loans continues to grow-and the next step may be a one-stop subprime loan supermarket, experts say. But lending in different industries requires separate, specific expertise, warns George Evans, chief executive of Search Financial Services. Page 10

To compete against "80/10/10" loans, which don't require mortgage insurance, mortgage insurers are marketing a new kind of single-premium policy. Page 8

Traditional lenders swarmed to a session on subprime lending at the Eastern Secondary Market Conference only to be warned of the pitfalls. Page 10

CORPORATE FINANCE

Britain's NatWest appointed George Trott as managing director of a new group that will manage its relationships with large corporate clients. Page 11

TECHNOLOGY

A Travelers unit has become the first U.S. insurer to offer financial institutions coverage against cyber-fraud on PC banking customers. Page 15

INVESTMENT PRODUCTS

Fifth Third announced its first deal ever to buy an asset manager. Page 18

First Union has suffered the second high-profile departure in three months from its Evergreen Keystone Funds division. Page 18

CREDIT/DEBIT/ATMs

competitors must band together on infrastructure issues to pave the way for new forms of competition, the departing Smart Card Forum president said. Page 23

MARKET MONITOR

PROFIT worries continue to weigh on banking stocks; Interwest is the latest to be downgraded. Back page