One Small Failure

With a shortened week due to Veteran's Day, 98th ranked Community Bank of Rockmart of Rockmart, Georgia, was closed yesterday by authorities. It was acquired by Century Bank of Georgia (1760th) of Cartersville, Georgia. Community Bank of Rockmart had approximately $62.4 million in total assets and $55.9 million in total deposits, although only $40.7 million of the failed bank's assets were acquired. The FDIC will retain the remaining assets for later disposition. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $14.5 million.

Another Top Forty Failure

19th ranked Mid City Bank, Inc. of Omaha, Nebraska was closed today by regulators.  It was acquired by Purdum State Bank (5463rd) of Purdum, Nebraska which will be renaming itself Premier Bank.  The $20 million bank by assets will be growing significantly, taking over approximately $106.1 million in Mid City Bank's assets and $105.5 million in total deposits. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $12.7 million.  

In additional news, 143rd ranked SunFirst Bank of Saint George, Utah, was also closed today.  to assume most of the deposits of SunFirst Bank. Cache Valley Bank (5635th) of Logan, Utah has acquired $177.3 million of the failed bank's assets and all but $15 million in deposits that are currently subject to litigation. The FDIC and Cache Valley Bank entered into a loss-share transaction on $128.9 million of SunFirst Bank's assets. The FDIC estimates that the cost to the DIF will be $49.7 million.

Number Eleven All American Bank Fails

11th ranked All American Bank of Des Plaines, Illinois failed today and was acquired by International Bank of Chicago (5644th) of Chicago, Illinois.  The small bank had assets of approximately $37.8 million and $33.4 million in total deposits. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $6.5 million.

Another Top Ten Failed Bank

This week marks the fourth Top Ten Failure for the list as Old Harbor Bank of Clearwater, Florida and three other banks failed.  The tenth ranked bank was taken over by 1^st United Bank (3802nd) of Boca Raton, Florida.  This is the third failed bank acquisition for 1^st United Bank having previously acquired the Bank of Miami and Republic Federal Bank in 2010 and 2009 respectively. The $1.26 billion bank by assets will grow considerably from Old Harbor Bank's approximately $215.9 million in total assets and $217.8 million in total deposits. 1^st United Bank entered into a loss-share transaction on $155.6 million of these assets. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $39.3 million.

32nd ranked Community Banks of Colorado of Greenwood, Colorado failed today and was acquired by Bank Midwest, National Association (5715th) of Kansas City, Missouri. This was the second failed bank acquired by Bank Midwest, the former being the Bank of Choice in July. Considerably larger than most recent failures Community Banks of Colorado had approximately $1.38 billion in total assets and $1.33 billion in total deposits. The FDIC and Bank Midwest have entered into a loss-share transaction on $714.2 million of Community Banks of Colorado's assets at an estimated overall cost of $224.9 million.

57th ranked Community Capital Bank of Jonesboro, Georgia, was closed today and acquired by State Bank and Trust Company (582nd) of Macon, Georgia. State Bank and Trust Company has been a major acquirer of failed banks having snapped up 12 to date.  With this purchase, they added approximately $181.2 million in total assets and $166.2 million in total deposits.  A loss-share transaction covers $141.3 and the overall cost to the DIF is estimated at a relatively costly $62.0 million.

96th ranked Decatur First Bank of Decatur, Georgia also failed this week after struggling with low regulator capital and a lack of profitability. Fidelity Bank (1368th) of Atlanta, Georgia acquired the approximately $191.5 million in total assets and $179.2 million in total deposits of the failed bank. Their agreement with the FDIC includes a loss-share transaction on $111.5 million and is expected to cost the DIF $32.6 million.

Top Bank Fails Along with Three Others

In the most recent failure this week number one ranked Country Bank of Aledo, Illinois was closed by state regulators.  Blackhawk Bank & Trust (2714th) of Milan, Illinois agreed to purchase approximately $113.3 million of the failed bank's $190.6 million in assets and assumed approximately $167.5 million in total deposits. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $66.3 million. 

The first failure of the week belonged to 17th ranked Piedmont Community Bank of Gray, Georgia.  The approximately $201.7 million in total assets and $181.4 million in total deposits were taken over by State Bank and Trust Company (582nd)  of Macon, Georgia. As part of the acquisition, the FDIC and State Bank and Trust Company entered into a loss-share transaction on $163.2 million of Piedmont Community Bank's assets. The estimated cost to the DIF will be about $71.6 million.

34th ranked Blue Ridge Savings Bank, Inc. of Asheville, North Carolina also closed today. The Bank of North Carolina (617th) of Thomasville, North Carolina has agreed to take over the approximately $161.0 million in total assets and $158.7 million in total deposits of the former bank. The purchase agreement includes a loss-share transaction on $143.2 million of Blue Ridge Savings Bank, Inc.'s assets.  The estimated cost to the DIF is $38.0 million.

82nd ranked (not listed) First State Bank of Cranford, New Jersey was the third bank to fail this week. Northfield Bank (formerly OTS regulated and un-ranked) of Staten Island, New York, to assume all of the deposits of First State Bank. First State Bank had approximately $204.4 million in total assets and $201.2 million in total deposits as of its last financial disclosure. The estimated cost to the DIF is $45.8 million.

Of note, nine banks have failed since the current Top 40 list came out and seven of these have been listed banks.  It is also interesting to see that two of the acquirers this week are clearly less sound banks than has typically been the case in the past. 

Two Top 40 Failures This Week

The Bank Blog continues to highlight the least sound banks as two more from the most recent list failed today:

The 23rd ranked, The RiverBank of Wyoming, Minnesota, was closed today by the Minnesota Department of Commerce. Central Bank of Stillwater, Minnesota, to purchase the approximately $417.4 million in total assets of the former RiverBank and assumed the approximately $379.3 million in total deposits. In order to limit the risk to the acquirer, The FDIC and Central Bank entered into a loss-share transaction on $339.3 million of these assets under a loss-share agreement. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $71.4 million.

The 33rd ranked Sun Security Bank of Ellington, Missouri also failed this week. The bank's approximately $355.9 million in total assets and $290.4 million in total deposits were taken over by Great Southern Bank of Springfield, Missouri was closed today by the Missouri Division of Finance, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. Essentially all of the assets of the former Sun Security Bank, $351.9 million, were assumed under loss-share transaction. The FDIC estimates that the cost to the DIF will be $118.3 million.

Another Top Ten Failure

Today, eight-ranked First International Bank of Plano, Texas, was closed today by the Texas Department of Banking. The approximately $239.9 million in total assets and $208.8 million in total deposits from First International Bank were taken over by American First National Bank (4021st) of Houston, Texas. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $53.8 million.