In Brief: Trust Manager Buys Bank's Trust Accounts

TrustCorp America, a fledgling vendor of personal trust management and administration in Washington, D.C., has acquired the trust assets of nearby Taneytown Bank and Trust Co.

Under terms of the agreement, expected to be completed today, TrustCorp would gain $29 million of assets in 100 accounts, bringing its total of trust assets under management to $70 million. TrustCorp was founded two years ago and chartered as a nondeposit bank by the District of Columbia.

Taneytown will retain a 40% share of fee revenue for the first year a trust is funded, said Brian M. Eztler, corporate secretary.

The arrangement lets the bank in Taneytown, Md., which was first authorized for trust in 1900, stay in that expanding business without incurring the expense of adding technology and personnel, Mr. Eztler said. "Being a small trust department, profitability comes right to the forefront," he said.

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