Online brokerage TD Ameritrade is buying Scottrade in a $4 billion cash-and-stock deal that would significantly expand its branch network.

In the two-stage deal announced Monday, TD Bank Group will buy Scottrade Bank first from Scottrade Financial Services for $1.3 billion in cash, and Scottrade Bank will be folded into TD Bank.

TD Ameritrade then will buy Scottrade Financial Services for $2.7 billion in cash and stock. Part of that will be financed by selling 11 million shares to TD Bank, which will continue to control 41 percent of TD Ameritrade's stock.

TD Ameritrade said that the transaction adds significant scale to its retail business and more than quadruples the size of its network of about 100 branch offices.

TD Ameritrade CEO Tim Hockey said the branches should help it better serve clients and expand into more markets, although the company will probably close about 150 of the 600 branches it will have after the deal.

“Financial decisions are very important to people, and they like talking with someone they know and they can talk to in their community,” Hockey said.

TD Ameritrade anticipates about $450 million in combined annual expense savings.

EU, Canada still eye trade deal

The European Union and Canada tried to remain upbeat Monday about the prospects for their free trade pact despite a small Belgian region persisting in its refusal to back the deal.

EU President Donald Tusk said Monday “there's yet time” to find a compromise solution.

A joint summit for signing the deal is scheduled for Thursday, offering the countries' leaders and Belgian officials little time to persuade the Wallonia region to drop its opposition.

Without all Belgian regions supporting the agreement, Belgium cannot sign, and the EU needs unanimity from all 28 member states.

“We think Thursday's summit still possible,” Tusk said in a Twitter message.

Ex-pitchman's ex-wife sues Subway

The ex-wife of former Subway pitchman Jared Fogle is suing the restaurant chain for damages, saying the company received three reports indicating his sexual interest in children but failed to take proper action.

The lawsuit was filed Monday in Hamilton County (Ind.) Superior Court on behalf of Katie McLaughlin.

The lawsuit, which seeks unspecified damages, alleges Subway allowed Fogle to spend significant time in elementary schools promoting the chain after the allegations. McLaughlin and Fogle finalized their divorce days before he was sentenced for trading in child pornography and paying for sex with underage girls.