SOURCE: First State Trust Company

First State Trust Company

February 24, 2009 08:00 ET

First State Trust Company Continues Its Innovative Traditions

E.F. Hutton Descendant Combines Experience and Innovation With Technology to Transform Trust Services

WILMINGTON, DE and EDISON, NJ--(Marketwire - February 24, 2009) - As the result of a reorganization, the former Citigroup Institutional Trust Company (CITC) has been renamed and today announced it will continue business operations as First State Trust Company (FSTC). The new venture, which will operate as an affiliate of Fi-Tek, LLC, brings together FSTC's quarter of a century expertise in trust, custody and administration -- dating back to its origins in E.F. Hutton Trust Company -- and Fi-Tek's cutting-edge technology solutions to form a strong, independent trust company designed to sustain its tradition and bolster its reputation as a premier provider of customized trust services for Plan Sponsors and Financial Advisors (FAs). CITC serviced Smith Barney's clients and FAs, and FSTC is expected to continue its existing relationship with Smith Barney, as well as other wealth management providers.

"Since the announcement, our Financial Advisors have provided only positive comments," said Bonnie Baker, Director of Institutional Services for Smith Barney Consulting Group. "As consultants, they are pleased with this event because the trust company will continue to provide a valuable service, but now as an independent, unaffiliated firm. The Service Level Agreement between Smith Barney and FSTC, as well as the technology resources that will be dedicated to enhance interfaces, provides our financial advisors with an additional level of comfort with regard to the service standards they have come to know."

"We are very excited about this deal, and welcome all the experienced Citigroup staff to FSTC," said Subir Chatterjee, CEO and President of Fi-Tek, a leading provider of technology-based solutions to trust and wealth management institutions, and major hedge fund administrators, servicing over $400 billion in total assets. "The affiliation with FSTC gives us the opportunity to work with a leading wealth management institution like Smith Barney to develop new products and services for the trust company."

As an innovative trust company based on independence, transparency and choice, FSTC provides the specialized securities processing, accounting and reporting services required in the institutional marketplace, as well as administrative services such as detailed deposit categorization, benefit payments, related tax filings, trading and automated reconciliation. Leveraging the latest web-based integrated trust solution from Fi-Tek, which will be configured for financial advisors, plan sponsors and third party administrators, FSTC will be well-positioned to enhance its customized services significantly, and cater to the challenging needs of institutions such as pension and 401(k) plans, endowments, foundations and other corporate accounts.

"Our ability to combine FSTC's proven client servicing model with a flexible, yet high-tech, trust solution enables our company to provide consultants, financial advisors and others with an affordable and enhanced end result that they can recommend with confidence to various types of organizations," said Marianne Quinn, President and COO of First State Trust Company. "Our philosophy for the future is to continue to provide similar accounting and administrative services, along with prompt delivery of customized solutions to help financial advisors and plan sponsors better navigate today's challenging financial markets at a lower cost and a higher level of quality service."

In addition to providing customizable tools and more timely information, FSTC also plans to expand its current Collective Trust Fund investment offering, implemented in 1983, by providing additional investment style choices for qualified plan sponsors. The current mix of both active and passive low expense funds provide investors with access to institutional grade investment managers without the high minimum investment typically required by those firms.

About First State Trust Company

First State Trust Company ("FSTC"), a Delaware chartered trust company, is a premier provider of comprehensive trust, custody, investment and administrative services. Through partnerships with brokerage firms, small banks and other distribution channels, FSTC offers to clients its unique combination of unmatched client servicing and innovative products. As of December 31, 2008 FSTC had assets under custody of more than $5.5 billion. For more information, visit

About Fi-Tek, LLC

Fi-Tek, LLC provides innovative wealth management software products and world-class business solutions to financial service providers and their customers worldwide. Since 1998, Fi-Tek's state-of-the-art software solutions and professional services enable its clients to efficiently grow and manage complex businesses with minimum resources, deliver premier financial services, improve communications and make informed decisions on behalf of their customers. More than 160 financial institutions around the world use Fi-Tek solutions to manage and service over $400 billion in assets. Fi-Tek is both SAS70 Type II and ISO 9001/2000 compliant. For more information, visit

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