Southern Colorado National Bank, Pueblo, Colorado, was closed today by the Office of the Comptroller of the Currency, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Legacy Bank, Wiley, Colorado, to assume all of the deposits of Southern Colorado National Bank.
The two branches of Southern Colorado National Bank will reopen on Saturday as branches of Legacy Bank.
As of September 4, 2009, Southern Colorado National Bank had total assets of $39.5 million and total deposits of approximately $31.9 million. Legacy Bank will pay the FDIC a premium of one percent to assume all of the deposits of Southern Colorado National Bank. In addition to assuming all of the deposits of the Southern Colorado National Bank, Legacy Bank agreed to purchase essentially all of the assets.
The FDIC and Legacy Bank entered into a loss-share transaction on approximately $25.5 million of Southern Colorado National Bank’s assets.
The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $6.6 million.
Southern Colorado National Bank is the 98th FDIC-insured institution to fail in the nation this year, and the third in Colorado.
The last FDIC-insured institution closed in the state was New Frontier Bank, Greeley, on April 10, 2009.
Read the complete press release at : www.fdic.gov
Check all the failed banks in USA at : Failed Banks List
Check all the failed banks in Colorado at : Failed Banks in Colorado
Tags: 2009 Failed Banks, bank failures, Colorado Bank Failures, Failed Banks, Failed Banks 2009, Failed Banks in Colorado, Failed Banks October, Failed Banks October 2, FDIC, Friday Failures, Legacy Bank, Southern Colorado National Bank
