[UK] Bradford and Bingley plc - Retail

On September 29, 2008, it was announced that Britain would nationalise mortgage lending giant Bradford & Bingley, selling its 197 retail banking branches and deposit book to Spanish bank Santander with the remainder transferred to the Treasury. Here are some highlights from Reuters:

* Bradford & Bingley's UK and Isle of Man retail deposit business along with its branch network has been transferred to Abbey National Plc. This transfer follows a competitive auction process for this part of the business, conducted by Morgan Stanley on behalf of HM Treasury.

* The remaining assets and liabilities of Bradford & Bingley - principally comprising its mortgage book, personal loan book, headquarters and relevant staff, and treasury assets and its wholesale liabilities - will be taken into public ownership through the transfer to the Treasury of the company's shares.

Reported as Britain's eighth largest lender in 2007, Yorkshire-based Bradford & Bingley specialized in "buy-to-let" mortgages which account for 60% of its £40 billion (US $70.25 billion) portfolio, according to The Economist. Just a week prior, The Guardian reported 370 jobs would be cut in addition to 90 from earlier in the year, with plans to eliminate 300 more with the closure of a processing center in Borehamwood, Hertfordshire.