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The following letter, from an anonymous employee at SunTrust (NYSE:STI), arrived in the mail this morning:

sun trust letter

The SunTruster makes a profoundly important point; the company’s board would do well to consider it. The only way a bank (or any business, for that matter) can truly thrive is if it offers a differentiated value proposition from its competitors. Think that’s impossible in a “commodity business” like banking? Wrong. Look at Wells Fargo and Commerce Bancorp. For that matter, SunTrust’s predecessors were once powerful, differentiated competitors, as well.

Occasional cost-cutting binges are fine I suppose, and are often necessary. But if SunTrust’s management really thinks it can cost-cut the company into a permanent strategic advantage, instead, it ought to save customers and employees a lot of hassle and go ahead and sell out now.

What do you think? Let me know!

Tom Brown is head of BankStocks.com.

Source: A Voice of Wisdom at SunTrust