By Felicity Ussher, 28 October 1999 18:05
NEWS NatWest is fighting off a hostile takeover bid from the Bank of Scotland with claims that merging their IT systems would put both customers and revenue at risk. The company is most concerned that the Bank of Scotland undervalues NatWest and lacks management experience. But integration issues are the third concern, as outlined in a defence bid yesterday. The document states: "Attempting to integrate two banks is a massive task which presents significant customer and revenue risks, especially if implemented on a hostile basis. In particular, systems risks are huge." NatWest has announced it will cut retail jobs by 10,000 and to make a further 1,000 head-office workers and 650 corporate bankers redundant - if shareholders reject the Bank of Scotland's bid. A spokeswoman for trade union, Unify BIFU, said that one of their biggest worries was how NatWest's ongoing restructure will affect IT employees.
In order to post a comment you need to be registered and logged in.
Log in or create your silicon.com account below