After suffering huge mortgage-related losses, Wachovia Corp. has announced the separation of its chairman and CEO functions. At the close of business on May 8, Ken Thompson relinquished his title as chairman but remains as president and chief executive officer. Lanty Smith, Wachovia's "lead" director, was named chairman. The Charlotte, N.C.-based bank has suffered large writedowns because of its collateralized debt obligation business. In a new report, Sandler O'Neill notes that Wachovia is suffering more than most because of its purchase of Golden West Financial, Oakland, Calif., a large player in the payment-option adjustable-rate mortgage market.
Processing Content
