Northern Trust Corp

Northern Trust Corp. said it was eliminating 700 jobs, or 9% of its workforce, as part of an effort to cut annual operating expenses by as much as $150 million. Most of the layoffs were made this month, the Chicago-based company said. Along with the elimination of 690 other jobs from the recent sale of assets from its retirement consulting branch, Northern Trust has now reduced its workforce by 15% this quarter, to less than 8,000 from 9,336 at the end of March.

To paraphrase the Beatles, they should have known better. The Chicago bank Northern Trust, that is, which decided to roll on last week with a round of lavish festivities pegged to its annual golf tournament at the Riviera Country Club in Pacific Palisades. Northern Trust Corp. is a 130-year-old bank that serves mostly an upper-crust clientele -- it claims 20% of the Forbes 400 list among its customers, which may be enough capital on the hoof to pay for the whole bank bailout.

Northern Trust Corp., a major Illinois banking company, said Wednesday that the mortgage practices of its four subsidiaries are under review by the Justice Department for possible lending discrimination against minorities. Northern Trust is the third banking company to acknowledge it has been targeted by the Justice Department for allegedly discriminating against minorities in mortgage lending. The two other banks are Shawmut National Corp. of Boston and Barnett Banks Inc. of Jacksonville, Fla.

Northern Trust Corp. said it was eliminating 700 jobs, or 9% of its workforce, as part of an effort to cut annual operating expenses by as much as $150 million. Most of the layoffs were made this month, the Chicago-based company said. Along with the elimination of 690 other jobs from the recent sale of assets from its retirement consulting branch, Northern Trust has now reduced its workforce by 15% this quarter, to less than 8,000 from 9,336 at the end of March.

Alison A. Winter, president and chief executive of Northern Trust Bank of California, has been installed as chairwoman of the Los Angeles Area Chamber of Commerce for 1998. She is the first woman to hold the post in the chamber's 100-year history. Winter had served as the first vice chair of the 1,500-member organization. Northern Trust, a unit of Chicago-based Northern Trust Corp., on Monday began trading as part of the Standard & Poor's 500 index.

Mutual fund company Neuberger Berman Inc. has hired fund manager Jon Brorson and three others from larger rival money management firm Northern Trust Corp. Neuberger acquired the growth stock fund team after cutting 2% of its workforce last quarter. This month, Neuberger said it would buy the U.S. arbitrage division of Credit Agricole Group for an undisclosed sum. Shares of Neuberger gained 67 cents to $33.65 on the New York Stock Exchange. They have declined 23% this year.

Four large creditors Monday challenged Orange County's plan to pay off $175 million in notes maturing this month and force holders of $800 million in short-term debt to wait a year to collect. The creditors represent mostly investors who hold notes due in July and August. They are Alliance Capital Management L.P., The Benham Group, Putnam Investment Management and The Northern Trust Corp. The lawsuit filed in Bankruptcy Court came as no surprise to Orange County officials.

Britain's largest bank on Tuesday joined its American peers by setting aside a huge sum in anticipation of losses on its loans to struggling Third World borrowers. National Westminster Bank said it was adding the equivalent of about $760 million to its bad-debt reserve. The London-based bank did not specify how large a loss would result from the move, but analysts said the effect would not be as severe as on many American banks.

To paraphrase the Beatles, they should have known better. The Chicago bank Northern Trust, that is, which decided to roll on last week with a round of lavish festivities pegged to its annual golf tournament at the Riviera Country Club in Pacific Palisades. Northern Trust Corp. is a 130-year-old bank that serves mostly an upper-crust clientele -- it claims 20% of the Forbes 400 list among its customers, which may be enough capital on the hoof to pay for the whole bank bailout.

Chicago's Northern Trust Co. to Invest $50 Million: Taiwan authorities have approved an application by the company to invest $50 million in the Taiwan stock market, the Securities and Exchange Commission said. Foreign financial institutions are allowed to directly purchase Taiwan stocks under a program begun in 1990. Direct investments by individual foreign investors are banned. About 50 foreign institutions have been authorized to invest $1.99 billion in Taiwan stocks, according to SEC data.

Mutual fund company Neuberger Berman Inc. has hired fund manager Jon Brorson and three others from larger rival money management firm Northern Trust Corp. Neuberger acquired the growth stock fund team after cutting 2% of its workforce last quarter. This month, Neuberger said it would buy the U.S. arbitrage division of Credit Agricole Group for an undisclosed sum. Shares of Neuberger gained 67 cents to $33.65 on the New York Stock Exchange. They have declined 23% this year.

Alison A. Winter, president and chief executive of Northern Trust Bank of California, has been installed as chairwoman of the Los Angeles Area Chamber of Commerce for 1998. She is the first woman to hold the post in the chamber's 100-year history. Winter had served as the first vice chair of the 1,500-member organization. Northern Trust, a unit of Chicago-based Northern Trust Corp., on Monday began trading as part of the Standard & Poor's 500 index.

Four large creditors Monday challenged Orange County's plan to pay off $175 million in notes maturing this month and force holders of $800 million in short-term debt to wait a year to collect. The creditors represent mostly investors who hold notes due in July and August. They are Alliance Capital Management L.P., The Benham Group, Putnam Investment Management and The Northern Trust Corp. The lawsuit filed in Bankruptcy Court came as no surprise to Orange County officials.

Northern Trust Corp., a major Illinois banking company, said Wednesday that the mortgage practices of its four subsidiaries are under review by the Justice Department for possible lending discrimination against minorities. Northern Trust is the third banking company to acknowledge it has been targeted by the Justice Department for allegedly discriminating against minorities in mortgage lending. The two other banks are Shawmut National Corp. of Boston and Barnett Banks Inc. of Jacksonville, Fla.

Chicago's Northern Trust Co. to Invest $50 Million: Taiwan authorities have approved an application by the company to invest $50 million in the Taiwan stock market, the Securities and Exchange Commission said. Foreign financial institutions are allowed to directly purchase Taiwan stocks under a program begun in 1990. Direct investments by individual foreign investors are banned. About 50 foreign institutions have been authorized to invest $1.99 billion in Taiwan stocks, according to SEC data.

CalFed to Sell Trust Unit: The Los Angeles-based thrift, parent of California Federal Bank, agreed to sell its Trust Services of America for about $65 million to Chicago-based Northern Trust. CalFed expects to post a $20-million gain after the sale is completed. It also expects to receive a $6-million dividend from the unit before the sale is completed. Assets of Trust Services, one of the largest trust companies in the state, include $6 billion in personal trust and employee benefit assets.

CalFed to Sell Trust Unit: The Los Angeles-based thrift, parent of California Federal Bank, agreed to sell its Trust Services of America for about $65 million to Chicago-based Northern Trust. CalFed expects to post a $20-million gain after the sale is completed. It also expects to receive a $6-million dividend from the unit before the sale is completed. Assets of Trust Services, one of the largest trust companies in the state, include $6 billion in personal trust and employee benefit assets.

Los Angeles officials alleged in a lawsuit this week that they were misled by a longtime investment bank trying to protect its own financial interests, resulting in more than $95 million in losses to a city employee pension fund. City Atty. Carmen A. Trutanich said the Northern Trust Corp. shifted city money into more risky real estate and other investments without fully disclosing the danger to pension managers. The lawsuit also targets Pension Consulting Alliance Inc., a company that was contracted by the Los Angeles City Employees' Retirement System to serve as its own investment consultant.

Britain's largest bank on Tuesday joined its American peers by setting aside a huge sum in anticipation of losses on its loans to struggling Third World borrowers. National Westminster Bank said it was adding the equivalent of about $760 million to its bad-debt reserve. The London-based bank did not specify how large a loss would result from the move, but analysts said the effect would not be as severe as on many American banks.