BB&T in Winston-Salem, N.C., plans to shut down an auto leasing business it inherited after buying Susquehanna Bancshares in Lititz, Pa.
BB&T will be "winding down" the operations of Hann Financial Service Corp., Kelly King, the $210 billion-asset company's chairman and chief executive, said during a conference call Thursday to discuss quarterly results.
"We are exiting because we don't choose to do auto leasing," King said during the call.
The Jamesburg, N.J., leasing firm was formed in 1959. It has originated and serviced vehicle leases and loans for banks, dealerships and leasing companies.
King said during a November 2014 conference call after announcing the Susquehanna deal that he found fee opportunities tied to Hann "extremely exciting."
Consumer auto leasing "is a new business area for us, so we'll have to take a look at that business to see how it fits into our business strategy going forward," King said at that time. "We do think that, over time, we can introduce some new products into the marketplace."
BB&T has been steadily evaluating and pruning back certain operations since buying Susquehanna in August. The company subsequently announced that it would not keep most of Susquehanna's small-business lending group and that it would close a loan-processing center in Maryland.