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First Bank System of Minnesota is making an agreed US$8.7 billion all-share bid for US Bancorp. The merged bank will be known as US Bancorp, and will be the eighth-largest US bank by market capitalization. The deal highlights the trend towards geographic consolidation among US banks.

US company SBC Communications has completed its US$16.5 billion acquisition of the Pacific Telesis group. The merger creates the largest US provider of local telephone services, with a market value of US$47.9 billion. The merger was completed after approval from the California Public Utilities Commission.

A team of associates from Skadden, Arps, Slate, Meagher & Flom's Beijing office has defected to Vinson & Elkins. The move halves Skadden's Beijing office, leaving two partners and three associates.

Howard M Liebman of Morgan, Lewis & Bockius, Brussels, believes that the Renault affair is evidence that European monetary union is premature

The Euro NM network of markets, offering a less demanding listing regime for young high-risk companies, has been extended to the Netherlands. By Pieter Riemer of Trenité Van Doorne, London

A new raft of financial services reforms opens the way for more competition from abroad, among other significant reforms. By Paul Belanger of Blake, Cassels & Graydon, Toronto

Two recent Court of Appeal decisions in Hong Kong each touched on an issue of concern to banks in their dealings with customers and third parties: first, whether a mortgagee is bound by a Mareva injunction, and secondly whether a trust can be impressed on deposits secured by contract.

The Hungarian Civil Code rules on mortgages and pledges were recently amended by Act XXVI of 1996. The Act was adopted by parliament on April 9 1996 and some provisions entered into effect on May 1 1996, but the remaining provisions take effect on May 1 1997. This briefing outlines the main changes.

Under the merger control rules of the Austrian Cartel Act (ACA) a pre-closing filing is required if the combined turnover of all participating undertakings amounts to at least Sch3.5 billion (US$290 million), provided that the turnover of at least two undertakings involved in the merger is at least Sch5 million. Because Section 42a para 1 ACA does not qualify the term 'turnover' (Umsatz)in geographic terms, and because the preparatory documents of the Cartel Law Amendment Act confirm the irrelevance of the distinction between domestic and foreign turnover, the Austrian Cartel Court initially applied the threshold to worldwide turnover. From the outset the turnover thresholds for the pre-closing filing requirement under Section 42a para 1 of the ACA have been considered too low. Because the Austrian Cartel Court only applied fairly weak structural link and effects tests to limit the jurisdiction of the court with respect to 'foreign' mergers and business combinations, transactions with a negligible Austrian content were subject to the pre-closing filing requirement and the one-month waiting period provided for under Section 42b ACA.

Kramer, Levin, Naftalis & Frankel, New York, and Freshfields, London, are representing Tyco International, the world's largest manufacturer of fire and safety systems, in its US$5.6 billion merger with ADT, the largest provider of electric security services in North America. Davis Polk & Wardwell, New York, Appleby, Spurling & Kempe, Bermuda, and Allen & Overy, London, are advising ADT.