Wells Fargo Chief Predicts Big Mergers: In...

Wells Fargo Chief Predicts Big Mergers: In a speech to the Hispanic Bankers Assn. in Los Angeles, Chief Executive Carl E. Reichardt said the need to bolster capital is pressuring the industry to restructure, adding that regulators and major shareholders are pushing banks toward large mergers. Reichardt predicted more intrastate mergers of large banks because the cost savings that would result “are staggering.” Although Reichardt’s comments reflect views that he and other bankers have held for some time, they take on added significance in the wake of disclosures last month that Wells and Security Pacific Corp. held merger talks late last year, as well as his previous comments that he would welcome a merger with First Interstate Bancorp.