BB&T 2009 Annual Report Download - page 35

USA Patriot Act
The USA Patriot Act of 2001 (the “Patriot Act”) contains anti-money laundering measures affecting insured
depository institutions, broker-dealers and certain other financial institutions. The Patriot Act includes the
International Money Laundering Abatement and Financial Anti-Terrorism Act of 2001 (the “IMLAFA”). The
IMLAFA requires such financial institutions to implement policies and procedures to combat money laundering
and the financing of terrorism and grants the Secretary of the Treasury Department (the “Secretary”) broad
authority to establish regulations and to impose requirements and restrictions on financial institutions’
operations. In addition, the Patriot Act requires the federal bank regulatory agencies to consider the
effectiveness of a financial institution’s anti-money laundering activities when reviewing bank mergers and bank
holding company acquisitions. The Treasury Department has issued a number of regulations implementing the
Patriot Act, which impose obligations on financial institutions to maintain appropriate policies, procedures and
controls to detect, prevent and report money laundering and terrorist financing. The obligations of financial
institutions under the Patriot Act have increased, and may continue to increase. The increase in obligations of
financial institutions has resulted in increased costs for BB&T, which may continue to rise, and also may subject
BB&T to additional liability.
Sarbanes-Oxley Act of 2002
The Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”) comprehensively revised the laws affecting
corporate governance, accounting obligations and corporate reporting for companies, such as BB&T, with equity
or debt securities registered under the Securities Exchange Act of 1934, as amended. In particular, the Sarbanes-
Oxley Act established: (1) new requirements for audit committees, including independence, expertise, and
responsibilities; (2) new certification responsibilities for the Chief Executive Officer and the Chief Financial
Officer with respect to the Company’s financial statements; (3) new standards for auditors and regulation of
audits; (4) increased disclosure and reporting obligations for reporting companies and their directors and
executive officers; and (5) new and increased civil and criminal penalties for violation of the federal securities
laws.
Future Laws, Regulations and Governmental Programs
Various laws, regulations and governmental programs affecting financial institutions and the financial
industry are from time to time introduced in Congress or otherwise promulgated by regulatory agencies. Such
measures may change the operating environment of BB&T and its subsidiaries in substantial and unpredictable
ways. The nature and extent of future legislative, regulatory or other changes affecting financial institutions is
very unpredictable at this time.
Other Regulatory Matters
BB&T and its subsidiaries and affiliates are subject to numerous examinations by federal and state banking
regulators, as well as the SEC, the FINRA, the NYSE and various state insurance and securities regulators.
BB&T and its subsidiaries have from time to time received requests for information from regulatory authorities
in various states, including state insurance commissions and state attorneys general, securities regulators and
other regulatory authorities, concerning their business practices. Such requests are considered incidental to the
normal conduct of business.
Corporate Governance
Information with respect to BB&T’s Board of Directors, Executive Officers and corporate governance
policies and principles is presented on BB&T’s web site, www.BBT.com, and includes:
ŠBB&T’s Corporate Governance Guidelines
ŠBB&T’s Corporate Board of Directors
ŠCommittees of the Corporate Board of Directors and Committee Charters
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