Bankers Trust Co. has named Donald Coffin a senior vice president and its chief lending officer, replacing Robert DeWaay, who has left the bank. Coffin has been the managing director of the West Des Moines office of The PrivateBank and prior to that was senior vice president and director of LaSalle Bank N.A.’s west central region. LaSalle was acquired earlier this year by Bank of America.

First American Bank has filed a lawsuit seeking to foreclose on a $1.7 million loan that was guaranteed by late businessman Ed Boesen and secured by a mortgage on property at West Glen Town Center that is the home of Schaeffer’s Bridal. The lawsuit, filed Monday in Polk County District against Boesen Investments Inc., seeks appointment of a receiver. The lawsuit also names as defendants Panache Inc., which owns Schaeffer’s Bridal and was purchased by Boesen, and First National Bank Midwest, which has a security interest in Panache Inc. resulting from a $700,000 loan to Boesen when he acquired the company by taking on its debt.

The Federal Reserve will give American International Group (AIG) a loan of up to $37.8 billion in addition to the $85 billion loan made to the troubled insurance giant last month, the Associated Press reported. Under the agreement announced yesterday, the Federal Reserve Bank of New York will borrow investment-grade, fixed income securities from AIG in return for cash collateral, which will help AIG secure funding on an as-needed basis. Last week, the company said it would sell off many of its business units to help pay off its government loan. AIG has been criticized for spending $440,000 on a California retreat, which included spa treatments, banquets and golf outings, just days after getting the federal bailout last month. AIG issued a statement yesterday saying the retreat was a “business event” planned months before the bailout and was for top-producing independent life insurance agents, not AIG employees.

Meta Financial Group Inc. has reached a settlement with Home Federal Bank resolving an outstanding lawsuit dating back to June 2006, relating to a series of loans made to the Dan Nelson-related entities SNAG and SDAC by its MetaBank subsidiary, according to a filing with the Securities and Exchange Commission. The company expects a total charge of about $2.1 million, including legal expenses. MetaBank also has established a reserve totaling $1.8 million to cover potential loan losses related to a borrower who is accused of committing fraud. Metabank said, it “remains well-capitalized.”

The Vision Iowa board at its meeting in Decorah yesterday approved a contract that formally authorizes $1 million in Vision Iowa funds to be awarded to the John and Mary Pappajohn Sculpture Garden. The contract finalizes the grant award, which the board approved in March, to be used toward landscaping Western Gateway Park to exhibit the contemporary sculptures, valued at $27.5 million. The city of Des Moines has allocated $500,000 in matching funds for the project and Polk County $100,000, in addition to $6.5 million in private funds that have been donated.

Talks over how to divide Wachovia Corp. between its two suitors, Citigroup Inc. and Wells Fargo & Co., are stalled over several key issues, the Wall Street Journal said, citing sources familiar with the situation. According to Reuters, the banks are concerned that buying even part of Wachovia could burden them with steeper losses than previously expected. The two banks agreed to extend their hold on legal action for two more days as they continue to try to come up with a deal with the U.S. government.

Retailers are reporting a sharp decline in September sales in the aftermath of a rough hurricane season and consumer spending cutbacks. Retailers selling nonessential items such as housewares, furniture, electronics, jewelry and women’s apparel fared worst, while discount retailers saw a rise in sales, with Costco Wholesale Corp.’s same-store sales rising 6 percent in the United States and Wal-Mart Stores sales up 2.4 percent, excluding fuel. Meanwhile, Dillard’s Inc. reported a 12 percent drop in sales, J.C. Penney Co. Inc. reported a 12.4 percent decline in same-store sales and Kohl’s had a 5.5 percent decrease in sales. Specialty retailers also were hit hard, with The Neiman Marcus Group reporting a 15.8 percent drop in sales and Saks Inc. reporting a 10.9 percent decline.

Bank of America Corp. has agreed to buy back up to $4.7 billion in auction-rate securities it sold to about 5,500 investors, small businesses and charities before the securities market collapsed in February, the Atlanta Business Chronicle reported. The settlement resolves allegations that the bank misrepresented to its customers that the auction-rate securities were safe and lucrative alternative investments. According to a Securities and Exchange Commission filing, Bank of America also will pay a $50 million penalty. It neither admits or denies wrongdoing. Wachovia Corp. recently reached a preliminary settlement with the SEC and state regulators to buy back $9 billion of auction-rate securities and a $50 million fine.