The combined bank will be called ABN AMRO and at the moment has a pro forma presence in 30 countries and territories, employing over 33,000 people, of whom 5,000 are outside the Netherlands. The merger is expected to result in the closure of 150 branches and will lead to 2,200 lay offs, of which 600 have already been made.
The new retail bank will offer expertise, professional advice and products to retail clients at all stages of their lives. The retail bank will be active in the areas of assets (savings and investment), housing (mortgages), lending, insurance and payments. It will also plans to offer investors various products distributed by other banks and insurers.
However, before the banks can put their integration plans into practice, they need to obtain the approval of the European Commission, the Dutch State, the Dutch Central Bank (De Nederlandsche Bank – DNB) and the relevant foreign regulators.
Reportedly, the Dutch state had purchased ABN Amro and Fortis Bank Netherlands in October 2008 as part of the spin off and financial rescue of former Dutch-Belgian financial services major Fortis NV. According to officials, the new ABN Amro is scheduled to be privatized again by 2013 or 2014.
