May 26, 2004

The Honorable Thomas V. Mike Miller, Jr.
President of the Senate
State House
Annapolis, MD 21401

Dear Mr. President:

In accordance with Article II, Section 17 of the Maryland Constitution, I have today vetoed Senate Bill 408 - Banking Institutions - Savings Banks.

This bill authorizes a savings bank to have any banking institution in this State, any other bank in this State, or any State or federal savings and loan association in this State merge into the savings bank if the Commissioner, after receiving the advice of the Banking Board, gives written consent to the transaction. It requires a plan of reorganization of a savings bank, to provide that as a result of the reorganization, the mutual holding company shall hold more than 50% of the stock of the subsidiary savings bank.

House Bill 423, which was passed by the General Assembly and signed by me on May 11, 2004, accomplishes the same purpose. Therefore, it is not necessary for me to sign Senate Bill 408.

Very truly yours,
Robert L. Ehrlich, Jr.