WELLS FARGO PICKS UP WAMU MILWAUKEE OPS

A Milwaukeeworld Scoop!

By Michael Horne

Washington Mutual and Wells Fargo cooked up a plan in just two-and-a-half weeks to sell WAMU's entire government mortgage servicing operations, based in Milwaukee, to the San Francisco bank. It is the latest big-money news around these parts for Wells Fargo, which bought Milwaukee-based Strong Financial Corporation in January, 2005.
WAMU employs about 1,200 at its Milwaukee location at Park Place on the far northwest side. The building, at 11002 W. Parkland, is also part of the deal
Seattle-based WAMU, the nation's largest savings and loan, originally acquired the Milwaukee mortgage servicing business from Fleet Financial Co. of Boston.
WAMU's government mortgage servicing, and a portion of its fixed-rate portfolio, representing 1.3 million customers and $140 billion in mortgages will be sold to Wells Fargo for an undisclosed amount in a deal that is expected to close July 31, 2006.
You can read the WAMU release here.

Employees were told of the move this morning, under heavier-than-usual security at the Milwaukee facility. Some were told that they would not be retained; the numbers are not available. It is not certain if the affected workers would be offered other employment with Wells Fargo.

Those who are to return to work tomorrow will likely be greeted by red and yellow balloons. Unlike WAMU, Wells Fargo operates retail branches in Milwaukee, and will probably pick up hundreds of new depositors among its new employees.

It looks like the Wells Fargo press release is the same as WAMUs.