"If he’s going to move on eventually, much higher, you would think he’d be in a position to be head of a major business," says Portales Partners' Jennifer Thompson of Wells Fargo's (WFC) Tim Sloan's move from CFO to head of wholesale banking. "It’s a vote of confidence in Tim Sloan from the management team."
John Shrewsberry taking over the CFO's slot is perhaps more of a surprie, but Sandler O'Neill's Scott Siefers is confident he'll have little trouble sliding into the role. "They’ve always had a deep bench, that was one of the attributes that does differentiate them from many of their competitors,” says Thompson.
In other Wells Fargo news, the bank is boosting its credit card push with a 10-year deal to issue and service cards for Dillard's. Expanding credit card business has been a key priority for Wells and the scoreboard: 37% of households had a Wells Fargo credit card at the end of 2013 vs. 27% two years earlier. This latest move has Wells moving into the private label card business, an area in which it lags rivals like Citi and Capital One.