Correction on FDIC Friday Fun

Posted by Ray on July 31, 2009 under Main | Be the First to Comment

There was another late closing, Mutual Bank was added late. Updated Story below:

Tonight 4 more banks were closed down which brings the total to 69 banks seized by the FDIC this year. While this is not a record it is also not getting enough press. One might wonder why the media is not reporting these seizures, but the explanation is simple, its embarrassing and they say that these are “small” banks which have little relevance to the economy, which is not true at all. Each closure pulls money out of the system and costs Americans money, period.

Tonight’s closures are:
_______________________________State________ASSETS___________DEPOSITS

First Bank of Americano___________NJ__________$166M__________$157M

Peoples Community Bank________OH_________$705M___________$598M

Integrity Bank_____________________FL__________$119M__________$102M

First State Bank of Altus____________OK__________$103M__________$98M

Mutual Bank______________________IL___________$1.6B___________$1.6B

The costs to the FDIC are as follows:

First Bank of Americano estimated cost of $15 million to the FDIC
Peoples Community Bank entered into a loss-share transaction with the FDIC on approximately $657.6 million
Integrity Bank estimated cost is $46 million to the FDIC
First State Bank of Altus estimated cost of $25 million
Mutual Bank entered into a loss-share transaction on approximately $696 million

The total estimated losses or loss-share-agreements total $1.439 billion this week. That estimated loss number continues to grow as last week we had estimated losses of $1.705 billion bringing the 2 week total to $3.144 billion.

So, 68 banks seized by the FDIC and little to no media coverage and we had the President and the CNBC cheerleaders saying everything is so much better than a year ago. Do you really believe this? I sure don’t as we are barely half way through the year. At this rate we will have over 120 seizures by the end of the year.

Subscribe to Annuity IQ's Feed

LS Blogs


Sphere: Related Content

Friday Night Fun at the FDIC

Posted by Ray on under FDIC, Main | Be the First to Comment

Tonight 4 more banks were closed down which brings the total to 69 banks seized by the FDIC this year. While this is not a record it is also not getting enough press. One might wonder why the media is not reporting these seizures, but the explanation is simple, its embarrassing and they say that these are “small” banks which have little relevance to the economy, which is not true at all. Each closure pulls money out of the system and costs Americans money, period.

Tonight’s closures are:
_______________________________State________ASSETS___________DEPOSITS

First Bank of Americano___________NJ__________$166M__________$157M

Peoples Community Bank________OH_________$705M___________$598M

Integrity Bank_____________________FL__________$119M__________$102M

First State Bank of Altus____________OK__________$103M__________$98M

Mutual Bank______________________IL___________$1.6B___________$1.6B
The costs to the FDIC are as follows:

First Bank of Americano estimated cost of $15 million to the FDIC
Peoples Community Bank entered into a loss-share transaction with the FDIC on approximately $657.6 million
Integrity Bank estimated cost is $46 million to the FDIC
First State Bank of Altus estimated cost of $25 million
Mutual Bank entered into a loss-share transaction on approximately $696 million

The total estimated losses or loss-share-agreements total $1.439 billion this week. That estimated loss number continues to grow as last week we had estimated losses of $1.705 billion bringing the 2 week total to $3.144 billion.

So, 68 banks seized by the FDIC and little to no media coverage and we had the President and the CNBC cheerleaders saying everything is so much better than a year ago. Do you really believe this? I sure don’t as we are barely half way through the year. At this rate we will have over 120 seizures by the end of the year.

Subscribe to Annuity IQ's Feed

LS Blogs


Sphere: Related Content