Sunday, November 11, 2012

Bank Failure Friday: 2 Banks and 2 Credit Unions Closed!



The FDIC closed 2 banks on Friday, November 2, 2012. Total bank failures for 2012 increased to 49.

#48 Heritage Bank of Florida, Lutz, FL
* Centennial Bank, Conway, AR assumed all of the deposits and purchased most of the assets
* FDIC retained the remaining assets for later disposition
* As of September 30, 2012, the bank had approximately $225.5 million in total assets
* FDIC estimates the cost to the Deposit Insurance Fund (DIF) will be $65.5 million
* The last bank closed in the state had been First East Side Savings Bank, Tamarac, on October 19, 2012

#49 Citizens First National Bank, Princeton, IL
* Heartland Bank and Trust Company, Bloomington, IL assumed all of the deposits and purchased most of the assets
* As of September 30, 2012, the bank had approximately $924.0 million in total assets
* FDIC estimates the cost to the Deposit Insurance Fund (DIF) will be $45.2 million
* The last bank closed in the state had been First United Bank, Crete, on September 28, 2012

States where banks have been seized by the FDIC in 2012 (in alphabetical order): Alabama 1, California 1, Florida 8, Georgia 9, Illinois 8, Indiana 1, Kansas 1, Maryland 2, Michigan 1, Minnesota 4, Missouri 3, New Jersey 1, North Carolina 1, Oklahoma 1, Pennsylvania 2, South Carolina 2, Tennessee 3. Florida, Georgia, and Illinois have accounted for 25 total or 51% of all bank failures in 2012 to-date. Florida, Georgia, and Illinois accounted for 45 total or 49% of all bank failures in 2011.

USA Failed Banks by Year Bank failures skyrocketed in 2009 and 2010 to 140 and 157, respectively - a 2-year total of 297 compared to 32 from 2004 through 2008. Bank failures in 2011 continued at a high rate of 92. The total 2012 closings are currently estimated at 57. The 2012 annual bank failures are extrapolated from the weeks reported and failures year-to-date.



Cost of Failed Banks The total estimated cost to the FDIC Deposit Insurance Fund for the 2012 bank closures year-to-date is $2.42 billion.



The most costly banks to the Deposit Insurance Fund (DIF) in 2012 year-to-date:
1 Tennessee Commerce Bank, Franklin, TN $416.8M
2 The First State Bank, Stockbridge, GA $216.2M
3 Inter Savings Bank FSB, Maple Grove, MN $117.5M
4 Fidelity Bank, Dearborn, MI $92.8M
5 NOVA Bank, Berwyn, PA $91.2M
6 First Guaranty Bank & Trust Company of Jacksonville, Jacksonville, FL $82.0M
7 Second Federal Savings and Loan Association of Chicago, Chicago, IL $76.9M
8 Plantation Federal Bank, Pawleys Island, SC $76.0M
9 BankEast, Knoxville, TN $75.6M
0 Montgomery Bank & Trust, Ailey, GA $75.2M



Failed Credit Unions

The NCUA closed 2 credit unions in the past week: U.S. Central Bridge Corporate Federal Credit Union of Lenexa, KS and Women’s Southwest Federal Credit Union of Dallas, TX. Credit union closings for 2012 increased to 13. No credit unions are now in conservatorship and managed by the NCUA.

5 have been liquidated and sold
* Telesis Community Credit Union of Chatsworth, CA
* Wausau Postal Employees Credit Union of Wausau, WI
* Saguache County Credit Union of Moffat, CO
* People Community Development Credit Union of Philadelphia, PA
* A M Community Credit Union of Kenosha, WI
6 have been liquidated and closed
* Women’s Southwest Federal Credit Union of Dallas, TX
* U.S. Central Bridge Corporate FCU of Lenexa, KS
* El Paso’s Federal Credit Union of El Paso, TX
* United Catholic Credit Union of Temperance, MI
* Western Bridge Corporate FCU of San Dimas, CA
* Shepherd’s Federal Credit Union of Charlotte, NC
2 have been liquidated and merged
* Trinity Credit Union, Trinidad, CO
* Eastern New York Federal Credit Union of Napanoch, NY

States where credit unions have been seized by the NCUA in 2012 (in alphabetical order): California 2, Colorado 2, Kansas 1, Michigan 1, New York 1, North Carolina 1, Pennsylvania 1, Texas 2, Wisconsin 2.

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