Washington Mutual and American Savings Bank announced their long- awaited merger Monday, creating one of the nation's three largest thrift companies.

Washington Mutual Inc. of Seattle, the fifth-largest U.S. thrift, said it agreed to pay $1.2 billion of stock for Irvine, Calif.- based American Savings, the sixth-largest.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.