As it sheds its California tagline and rebrands itself as anational institution, Union Bank is also moving to expand itstreasury services business.

Union Bank has seen an influx of funds from corporate clients,as have other banks with stronger asset quality, says Todd Gregory,the senior vice president who leads the treasury services division.The treasury group's deposits have grown by more than a third sincethe U.S. economic turmoil began as companies search for safety inthe current credit environment. “The uncertainty among the clientsis probably the greatest I've ever seen it in 25 years,” hesays.

“We're taking highly rated resources within the bank and we'reapplying those with a broader reach, with more focus and morepeople,” Gregory says, noting that the Union Bank's treasuryservices is already ranked among the top 10 cash managementproviders by Ernst & Young.

As part of its expansion, the treasury group is creating two newspecialized industry practices: one for the energy business,reflecting its strong lending practice in that area, and the otherfor non-bank financial institutions.

Gregory, who joined Union Bank last year from J.P. Morgan, saysthat corporate clients want a certain level of customer service.“They're looking for knowledgeable bankers who are not distractedand have the time to focus on their needs,” he says. “That's wherea bank like Union Bank can really set itself apart.”

Union Bank, until recently known as Union Bank of California, isthe main subsidiary of UnionBanCal. Last fall, Mitsubishi UFG,Japan's biggest bank, bought the 35% of UnionBanCal that it didn'talready own.

The treasury services division sees no need to expand itsregional offices in eight states–California, Colorado, Georgia,Illinois, New York, Oregon, Texas, Washington–and the District ofColumbia. “Commercial clients truly have the bank in their officenow,” Gregory says, citing services ranging from armored carspicking up cash to the imaging of deposits. “That's the biggestevolution. You can bank with any bank, anywhere. With the ongoingdevelopment of the Web and the legislation on check image clearing,we now bring the bank to you.”