Sovereign Bancorp Inc., the savings and loan that agreed to be acquired by Spain's Banco Santander SA, will take a $2 billion writedown and get a new chief executive officer, Santander Chairman Emilio Botin said.

Gabriel Jaramillo, a former head of Santander's Brazilian unit, will lead Sovereign, Botin said today at a meeting of the Spanish bank's shareholders in Santander, Spain. Santander will have "an initial write-off" of $2 billion at Sovereign, which will make a profit of $750 million by 2011, Botin said.

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