Friday Failures : 3 Banks Closed by FDIC on October 2

On October 2nd, FDIC closed 3 banks.
These banks were from Michigan, Minnesota and Colorado .
With this failure the failed banks count goes to 98 in 2009 and 123 since 2008.

Today’s failures will cost  $307.1 million to the Deposit Insurance Fund (DIF) .

http://www.PortalSeven.com/

Some highlights of the bank failures :

Warren Bank, Warren, Michigan :

• Warren Bank is the 96th FDIC-insured institution to fail in the nation this year, and the second in Michigan.
• As of July 31, 2009, Warren Bank had total assets of $538 million and total deposits of approximately $501 million.
• The Huntington National Bank, Columbus, Ohio, to assume all of the deposits of Warren Bank.
• Six branches of Warren Bank will reopen on Saturday as branches of The Huntington National Bank.
• The Huntington National Bank will pay the FDIC a premium of 0.27 percent to assume all of the deposits of Warren Bank.
• The Huntington National Bank will purchase only approximately $83 million of the failed bank’s assets.
• The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $275 million.

Jennings State Bank, Spring Grove, Minnesota:

• Jennings State Bank is the 97th FDIC-insured institution to fail in the nation this year, and the fourth in Minnesota.
• As of July 31, 2009, Jennings State Bank had total assets of $56.3 million and total deposits of approximately $52.4 million.
• Central Bank, Stillwater, Minnesota, to assume all of the deposits of Jennings State Bank.
• Two branches of Jennings State Bank will reopen on Saturday as branches of Central Bank.
• The FDIC and Central Bank entered into a loss-share transaction on approximately $37.7 million of Jennings State Bank’s assets.
• The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $11.7 million.
• This was the second bank acquisition by Central Bank in less than 2 months. Previously Central Bank has acquired Mainstreet Bank on August 28. At that time Central Bank had paid 0.10 percent premium to acquire all deposits of Mainstreet Bank.

Southern Colorado National Bank, Pueblo, Colorado:

• Southern Colorado National Bank is the 98th FDIC-insured institution to fail in the nation this year, and the third in Colorado.
• 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, Wiley, Colorado, to assume all of the deposits of Southern Colorado National Bank.
• Two branches of Southern Colorado National Bank will reopen on Saturday as branches of Legacy Bank.
• Legacy Bank will pay the FDIC a premium of one percent to assume all of the deposits of Southern Colorado National Bank.
• 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.