Bank of Bermuda customers will have access to a much wider international network of banking services after the bank's sale to multinational HSBC.

This was according to HSBC group general manager Iain Stewart, who was on the Island yesterday to participate in a joint announcement on the deal which is still subject to regulatory and shareholder approval.

Mr. Stewart said: "We see many areas where this transaction will enable us to offer customers an improved service. Our customers in Bermuda will have access to our international network of 9,500 offices."

In addition, he said Bermuda clients could also benefit from greater lending in the local market as HSBC had a broader capital base than the Bank of Bermuda.

Finance Minister Eugene Cox also spoke to the expanded services that would be available to banking clients: "If the transaction is completed, HSBC would introduce a global financial leader into Bermuda's economy. It would bring to the entire Bermuda community - households, small businesses, large businesses, and international firms - a broadened array of financial products and services. At the same, it would expand the importance of the banking and financial services sector of the economy."

Bank of Bermuda management indicated at the press conference that services domestically, which will continue to be branded as the Bank of Bermuda as well as HSBC, would see little change although electronic platforms, such as ATMs and online banking, could continue to replace more traditional teller banking services.

Technology was cited as a key driver of HSBC's efficient business model, with Mr. Stewart saying: "We invest about two-and-a-half billion dollars every year on the latest technology, helping to serve our customers where they want, when they want and how they want.

To give you an idea of the scale, HSBC processes about seven billion transactions a year. We believe that enhanced technology will benefit our customers here."

HSBC said it had not signed any legally binding agreement but that it was committed to leaving the bank's headquarters in Bermuda and retaining the bank's own board, management and branding. Mr. Stewart said that HSBC revisits its branding every five years but there was no plan to rebrand the Bank of Bermuda as anything else. HSBC also undertook to match the Bank of Bermuda's charitable giving through the Bank of Bermuda Foundation, which will remain an independent organisation.

Mr. Stewart said: "Like the bank, HSBC's social and charitable commitment is proven, particularly to environmental and educational projects around the world. We believe that we have an obligation to make the communities where we work and live better places. Last year we donated $34.5 million dollars to good causes around the world. We take our responsibilities seriously, and we will play our full part here in Bermuda."