As customers continue to move online, Bank of New York Mellon Corp. has decided to shutter nine wealth management branches that were hit particularly hard by the lack of foot traffic.
The nine offices were in Pittsburgh, the suburbs around New York City, and around Philadelphia, said company spokesman, Kevin Heine.
“With the level of transactions and volumes that were generated by these offices it didn’t make economic sense to keep them open,” Heine said, in an interview Friday. “Though we continue to have a strong commitment and presence in these communities.”
Approximately 30 people will be affected by the closings, he said.
Heine does not expect other offices will close. “In fact, we’ve actually been expanding our operations in the last year and in the last 6 months we’ve probably hired a dozen new sales staff in other locations. The business is performing well and we are firmly committed to the wealth management business and will continue to grow it.”
In other BNY Mellon [BK] news, it announced Thursday that Jane Sherburne has been named senior executive vice president and general counsel for the firm and will assume the position May 3.
She is replacing Carl Krasik who announced in October that he would retire this year.
Earlier this week the company announced it appointed James Malgieri as chief executive officer of Broker-Dealer Services. Malgieri will report to Art Certosimo, senior executive vice president and head of Broker-Dealer and Alternative Investment Services at BNY Mellon.
“Jim has been instrumental in driving growth and market share gains in our business, as well as delivering outstanding service to our clients during extremely challenging times,” Certosimo said in a press release. “Moving forward, we need a leader who understands the evolving needs of our clients and will drive the development of solutions that help them succeed.”
Also this week, BNY Mellon announced that Scott Freidenrich was appointed as executive vice president and treasurer. Freidenrich will report to Thomas P. Gibbons, the company's chief financial officer, and be responsible for leading and developing the company's treasury group.
Freidenrich replaced Jeff Landau, who was named the head of the company's cash investment strategies group. Freidenrich was head of U.S. institutional sales for Citigorup's Prime Finance.