Commentary: A Banking Revolution: Let The Top Bidder Win

Dutch banking giant ABN-Amro Holding enjoys an enviable reputation for thrift. While German and Swiss banks have spent billions to build expensive investment-bank franchises, ABN-Amro has concentrated on cutting costs in its core business, retail commercial banking. Now, the Dutch bank has bid $12.3 billion, a hefty 24 times earnings, to buy Belgium's Generale de Banque, besting a rival offer from Belgium's Fortis by 12%. Analysts predict a bidding war will ensue.

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