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Federal Deposit
Insurance Corporation

Each depositor insured to at least $250,000 per insured bank

Decisions on Bank Applications

Davidson Trust Co.


IN RE: Davidson Trust Co.
Great Falls, Cascade County, Montana
Application for Federal Deposit Insurance (Savings Association Insurance Fund)


Pursuant to the provisions of Section 5 of the Federal Deposit Insurance Act (12 U.S.C. 1815), an application for Federal deposit insurance with membership in the Savings Association Insurance Fund has been filed on behalf of Davidson Trust Co. (DTC), a proposed new Federal savings bank to be located at 9 Third Street North, Great Falls, Cascade County, Montana.

DTC's sole shareholder will be DADCO, Incorporated, a diversified financial services company founded in 1935. DADCO and its subsidiaries primarily supply investment, money management, and trust services. DADCO Travel serves as a full service travel agency. The company predominantly operates in the regions of the Northern Rocky Mountains and Pacific Northwest.

The company will establish a de novo thrift institution and merge its two existing, state-chartered trust subsidiaries with and into the thrift. The insured institution will engage solely in trust services and limit deposits to a single account from DADCO or one of its subsidiaries. The institution will not engage in lending activities.

For the purposes of this proposal, the investment in fixed assets is reasonable, capital is adequate, future earnings prospects are favorable, and management is considered satisfactory. No formal objections to this application have been filed with the FDIC. Corporate powers to be exercised are consistent with the purpose of the Federal Deposit Insurance Act. No undue risk to the Savings Association Insurance Fund is apparent.

Accordingly, based upon a careful evaluation of all available facts and information, the Associate Director, pursuant to delegated authority, has concluded that approval of the application is warranted.



Re: Davidson Trust Co. (In Organization)
Great Falls, Montana
Application for Federal Deposit Insurance (Savings Association Insurance Fund)


The undersigned, acting under delegated authority, has fully considered all facts and information relevant to the factors of Section 6 of the Federal Deposit Insurance Act relating to the application for federal deposit insurance for Davidson Trust Co., a proposed limited-purpose Federal savings bank to be located at 9 Third Street North, Great Falls, Cascade County, Montana, and has concluded that the application should be approved.

Accordingly, it is hereby ORDERED, for the reasons set forth in the attached Statement, that the application submitted by Davidson Trust Co. for Federal deposit insurance be, and the same hereby is, approved subject to the following conditions:

1) That beginning paid in capital funds of not less than $2,500,000 be provided;

2) That federal deposit insurance shall not become effective unless and until the applicant has been established as a Federal savings bank, that it has authority to conduct a banking business, and that its establishment and operation as a bank have been fully approved by appropriate Federal authorities;

3) That DADCO, Incorporated (DADCO) obtain approval from the Office of Thrift Supervision to establish a unitary thrift holding company and acquire voting stock control of the bank prior to its opening;

4) That any changes in proposed management or proposed ownership (10 percent or more of stock including new acquisitions of or subscriptions to 10 percent or more of the stock), will render this commitment null and void unless any such change in proposed management or proposed ownership is approved by the FDIC prior to the opening of the depository institution;

5) That the insured institution shall be engaged in the business of receiving deposits, other than trust funds; and

6) That until the date that this conditional commitment for deposit insurance becomes effective, the FDIC shall have the right to alter, suspend, or withdraw the said commitment should any interim development be deemed to warrant such action.

Dated at Washington, D. C. this day of December, 2000.

John M. Lane
Associate Director
Division of Supervision

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