August 17, 2011:  Tucked away between Underhills Crossing and Papyrus on Pondfield Road, the HSBC Bronxville branch is one of the smallest of the village's eight banks.

It might have won a more prominent place in the sun had it been among the 195 branches that First Niagara Bank, based in Buffalo, NY, has just acquired in the lower Hudson Valley in a $1 billion sale.  Four of the HSBC branches in Westchester will become First Niagara banks--the branches in Bedford Hills, Mount Kisco, Ossining, and Yorktown Heights.

In keeping with its low profile, HSBC Bronxville declined to provide an explanation for its survival.  Nor were any data on depositors, assets, or other aspects of the business provided.  The manager of the bank, Tanya Norris, referred all questions to Neil Brazil, HSBC's vice president of public affairs for North America, in Mettawa, Illinois.  He replied that the information was proprietary.  Asked for rental and other information, Jonathan B. Ford, the property manager, declined to answer.

HSBC Bronxville branch is a taxpayer, but the amount of taxes it pays is unavailable, according to Robert Fels, village treasurer, because it is part of a larger parcel.  That parcel, the other occupants of which were not disclosed, is the property of an off-site owner, Petrillo Family Three of Yonkers.  Asked for rental and other information, the property manager declined to answer.

Apparently, to dispel any lingering air of mystery, a 450-word notice in tiny type has now been posted in the doorway of the bank. It reads in part:

HSBC Bank USA has been undergoing a review ... to reposition our businesses around our vision to become the leading international bank.  Consistent with [this] strategy, HSBC has been conducting an analysis of its retail branch network to align the size and locations of our US branches with those markets with strong international connectivity.  HSBC [will] sell all retail branches in Upstate New York [and] four branches in Westchester County, two in Putnam County ... and six in Connecticut to First Niagara Bank.

If your accounts are not held in one of the impacted branches, this announcement will not affect any of your current banking arrangements.

The bank hearkens back to Hong Kong and Shanghai, where branches were first opened in 1865 and The Hongkong and Shanghai Banking Corporation was established.  Its initial purpose was to finance the growing trade among Europe, India, and China, and it focused on expanding in China and the rest of the Asia-Pacific area throughout the rest of the 19th century.

In the 20th century the bank continued to expand into other continents, growing significantly in the US and the UK primarily through acquisitions, including the acquisitions of Midland Bank in the UK and Marine Midland Bank and Republic National Bank of New York in the US.  In 2002 it acquired Household Finance Corporation (renamed "HSBC Finance"), which was closed in 2009 as a consequence of the subprime lending crisis, resulting in the loss of 6,000 jobs.

The bank was restructured in 1991 due to the planned transfer of sovereignty of Hong Kong to China.  HSBC Holdings plc was established as the parent company of The Hongkong and Shanghai Banking Corporation for the purpose of taking over Midland Bank in the UK, and it relocated its world headquarters from Hong Kong to London.  "HSBC" was established as a uniform, international brand name in 1999.

HSBC Holdings plc through its group of affiliates now has offices in Africa, the Americas, Asia, and Europe, calling itself the "world's local bank."  It is the world's second-largest banking and financial services group and second-largest public company, with assets of $2.418 trillion as of June 30, 2010 (Forbes magazine).

Pictured here:  The Bronxville branch of HSBC on Pondfield Road.

Photo by N. Bower