The latest mergers in a transformed banking industry include two of the biggest US mortgage providers, namely Bank of America Corp and Wells Fargo & Co, taking over Merrill Lynch & Co and Wachovia Corp respectively. While Merrill was valued at nearly $33 billion in stock, Wachovia was valued at roughly $12.7 billion.

From January to September last year, both Wachovia and Merrill together suffered more than $48 billion of losses, chiefly because of writedowns tied to mortgages and other troubled arrears.

By adding Merrill, Bank of America - with nearly $2.7 trillion - has become the largest US bank by assets; while Wells Fargo - with about $1.4 trillion - ranks fourth, behind JPMorgan Chase and Citigroup. However, Wells Fargo now has the country's largest deposit bases and brokerages, with the biggest branch network of more than 6,600 offices.

The Chief Executives of both Wells Fargo and Bank of America have released statements commenting on the acquisitions - San Francisco-based Wells Fargo's CEO John Stumpf said: "We're being very thoughtful and deliberate in our three-year merger integration." And, Charlotte, North Carolina-based Bank of America's CEO Kenneth Lewis, said: "We are now uniquely positioned to win market share and expand our leadership position in markets around the world."

The Wachovia merger, which closed on Wednesday, marked the cessation for a lender that in 1879 began with a "very adequate" $100,000 of capital. Meanwhile, the Merrill acquisition, completed on Thursday, has brought the nearly 95 years of independence for the Wall Street investment bank and brokerage to an end.