U.S. Bancorp said it has agreed to buy the bond trustee business of First Citizens Bank, a subsidiary of First Citizens BancShares Inc. of Raleigh.

On completion of the deal, which was announced last week, U.S. Bancorp's corporate trust division would have $2.4 trillion of assets under administration, 725,000 bondholders and more than 114,000 client issuances. The deal is expected to close by yearend; the price was not disclosed.

Currently the Minneapolis company has 46 corporate trust offices nationally and offers a complete line of trust services. U.S. Bank serves as trustee and paying agent for the issuance of taxable and nontaxable securities, including the review of documents and indentures, registration and authentication of bonds, receipts and disbursement of bond sale proceeds, successor trusteeships, escrow account services and transfer and paying agency services.

The U.S. Bancorp corporate trust division provides mortgage-backed and asset-backed securitizations, money market paying agency services, bond and tax administration, escrow services and document custody services.

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