Business

Wachovia shareholders OK Wells Fargo deal

Posted December 23, 2008 1:40 p.m. EST
Updated December 23, 2008 3:57 p.m. EST

— With more than 75 percent voting in favor, Wachovia Corp. shareholders approved a merger with Wells Fargo & Co. during a special meeting Tuesday morning.

The result was not a surprise, because Wells Fargo already owns 40 percent of Wachovia's stock. That is why so many other shareholders are outraged by this merger.

Seven shareholders and one Wachovia employee were allowed to speak directly to the board of directors from Wachovia and Wells Fargo.

"We are asked today to vote on a merger with Wells Fargo, when the result is a foregone conclusion," John Moore said, adding that Wachovia violated the trust of thousands of area residents and employees.

"I know of one woman who worked at the bank for 25 years, and most of her investment was in Wachovia stock. So now, she's living on a modest income, the dividend has gone away, and so it's a difficult thing," he said.

Five out of the seven shareholders who spoke expressed the same sentiment as Moore.

"I told them a story a few weeks ago about a woman who's name is Wachovia because her parents actually adopted her because the bank was able to help them with the financing they needed," employee Jaronica Howard said.

Howard said she also wanted to make sure the board of directors from Wachovia and Wells Fargo understood how much the bank means to Charlotte.

Shareholders also expressed anger because three out of four Wachovia board members will be joining the board of directors at the new Wells Fargo.