Ninth-Ranked Bank Fails

The ninth-ranked Bank of the Commonwealth has become the first Top 40 failure since the new list was published. The Norfolk, Virginia, based bank was acquired by Southern Bank and Trust Company (1650th) of Mount Olive, North Carolina. The Bank of the Commonwealth was one of the larger banks to fail in sometime. It had approximately $985.1 million in total assets and $901.8 million in total deposits. Southern Bank and Trust Company assumed all deposits. However, it acquired only $924.3 million of the failed bank's assets, with $798.2 million of those under a loss-share transaction. The cost to the FDIC's Deposit Insurance Fund (DIF) will be $268.3 million, a substantial figure for a bank of this size. Later this evening, 101st-ranked Citizens Bank of Northern California based in Nevada City, California, was closed by state regulators., to assume all of the deposits of Citizens Bank of Northern California.Tri Counties previously acquired failed Granite Community Bank, N.A. in May of 2010. The roughly $288.8 million in total assets a $253.1 million in total deposits were acquired by Tri Counties Bank of Chico (2101st), California. The estimated cost to the DIF will be $37.2 million.