M&T Bank

Flush with capital and facing stiff competition for customers, many regional banks appear to be mulling acquisitions to accelerate growth.

Strong gains in net interest income offset a decline in fee income, but a recent settlement with the federal government over alleged misconduct at its Wilmington Trust unit weighed on the Buffalo company's overall results.

Wilmington Trust and some of its executives had been accused of intentionally understating past-due loans in 2009 and 2010.

The Buffalo, N.Y., bank has been freed from an enforcement order that required an upgrade of its anti-money-laundering compliance systems. The Fed had ordered the upgrade as a condition for approval of its acquisition of Hudson City Bancorp.

Monetary policy was intended to act as an accelerant for an economy in recession, and did in fact accomplish that goal early on; however, its benefits have waned, if not reversed, over time.

A new accounting policy and improved profit margins fueled M&T Bank’s double-digit profit growth in the first quarter.

In his annual letter to shareholders, M&T Bank chief Robert Wilmers laid out in compelling detail how government policies intended to protect American families have ultimately stymied economic growth.

Because the fates of banks and the communities they serve are so intertwined, the regulatory impacts borne by regional banks are inextricably linked to the repercussions experienced by their customers.

The rally in bank stocks since Donald Trump's surprise victory in November has minted a new billionaire banker ahead of Friday's inauguration: M&T Bank CEO Robert Wilmers.

While the Trump administration could relax other bank regulations, it is unlikely that it would ease up when it comes to money-laundering compliance.