Under the operations integration plan unveiled earlier today, the former Deutsche Bank operations in Jersey City, New Jersey and Nashville, Tennessee will be transitioned to State Street’s US servicing platform. Both the Jersey City and Nashville sites will close in the third quarter of 2004, and client service and client management functions will move to New York where State Street will consolidate operations in new offices in lower Manhattan, in what the firm described as a “significant presence.”
State Street officials are also sticking with their earlier estimates that they will be slashing approximately 1,000 employees over a 12 to 18-month period beginning in June – primarily in the US.
In Europe, the Edinburgh operation will focus on fund administration, performance measurement, and securities operations. It has also been designated as the site of the company’s European continuous back-up center for securities operations. State Street’s London operations will remain a primary investment management, investment servicing, and securities lending center. In addition, State Street will establish a significant financial center in Ireland.
In Asia Pacific, Singapore will become the site of a significant State Street operations center for Southeast Asia.
State Street announced February 3 the primary closing of its $1.5-billion cash and stock deal to buy substantial parts of Deutsche Bank’s Global Securities Services. The deal makes State Street the world’s largest global custodian (See State Street-Deutsche Global Custody Deal Completes Primary Closing).