Planned Bank Merger Could Establish Big Family Fund

By Maria Di Mento

A bank merger could lead to the creation of one of the nation’s biggest family foundations.

The couple who serve as chief executives of Golden West Financial Corporation, Marion O. Sandler and her husband, Herbert M. Sandler, plan to give some $2- billion to their foundation after selling approximately 30 million shares of Golden West stock to the Wachovia Corporation, a Golden West spokesman said. The two companies have announced plans to merge in May.

The Sandlers, who have donated to human-rights charities, community-organizing groups, and scientific-research organizations in the past, have said they want to give away most of their fortune during their lifetime.

They have not disclosed many details about their giving plans, but apart from the $2-billion they will channel to philanthropy, the couple made several big gifts this month to nonprofit causes.

Reports the Sandlers were required to file with the Securities and Exchange Commission show that they donated stock valued at $814.9-million to charity on June 6, the day they sold the stock, which was selling at $73.88 a share. The couple also donated $463.8-million worth of Golden West stock to a charity on June 13.

People who found companies or are otherwise considered insiders are required to disclose to the government transactions involving a change in ownership of company stock, including whether they are using the stock to make a gift to a charity. They are not required to name the beneficiaries, however.

Bernard Osher, a private investor who serves on Golden West’s board, also donated company stock to charity last month. Mr. Osher gave 6.5 million shares of Golden West stock worth $470-million to charitable organizations, and 3.5 million shares valued at $253.1-million to charitable remainder trusts, according to reports filed with the Securities and Exchange Commission on June 26. Through his Bernard Osher Foundation, in San Francisco, Mr. Osher has given to arts and cultural organizations, education institutions, and social-services groups.

Mr. and Ms. Sandler and Mr. Osher all declined to name the organizations that benefited from the stock transactions they made in June.