U.S. Bancorp (USB) Expands Business Banking Into Four Sun Belt States

U.S. Bancorp (NYSE: USB) announced a significant expansion of its business banking operations into Florida, Georgia, Texas and Arizona, targeting mid-sized businesses in Sun Belt states where U.S. Bank currently has a limited presence.

The expansion includes a sizable hiring effort as the company seeks a broader national footprint. It fits into a wider shift by large banks toward faster-growing regions.

U.S. Bancorp is a large U.S. financial services holding company with a market capitalization of about $95.9b. It offers banking and related services to businesses, individuals, institutions and government entities, so business banking in these states connects directly to its core franchise.

The early test of the move will be the business banking data U.S. Bancorp reports from the new states. Watch for disclosures on loan balances, deposit growth and fee income from Sun Belt business clients over the next few earnings reports, along with any commentary on credit quality in these newer portfolios.