FDIC Friday Oct 19, 2012 ~ Three more banks fail!

[Copper Catcher]

An interesting observation...How exactly is it possible that another bank assumes all the deposits and assets and still cost the FDIC money? I don’t know?

SmartBank, Pigeon Forge, Tennessee, Assumes All of the Deposits of GulfSouth Private Bank, Destin, Florida

As of June 30, 2012, GulfSouth Private Bank had approximately $159.1 million in total assets and $151.1 million in total deposits. In addition to assuming all of the deposits of the failed bank, SmartBank agreed to purchase essentially all of the assets.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $36.1 million. Compared to other alternatives, SmartBank's acquisition was the least costly resolution for the FDIC's DIF. GulfSouth Private Bank is the 44th FDIC-insured institution to fail in the nation this year, and the sixth in Florida. The last FDIC-insured institution closed in the state was
The Royal Palm Bank of Florida, Naples, on July 20, 2012.

Stearns Bank National Association, St. Cloud, Minnesota, Assumes All of the Deposits of First East Side Savings Bank, Tamarac, Florida

As of June 30, 2012, First East Side Savings Bank had approximately $67.2 million in total assets and $65.9 million in total deposits. In addition to assuming all of the deposits of the failed bank, Stearns Bank agreed to purchase essentially all of the assets.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $9.1 million. Compared to other alternatives, Stearns Bank's acquisition was the least costly resolution for the FDIC's DIF. First East Side Savings Bank is the 45th FDIC-insured institution to fail in the nation this year, and the seventh in Florida. The last FDIC-insured institution closed in the state was GulfSouth Private Bank, Destin, earlier today.

Simmons First National Bank, Pine Bluff, Arkansas, Assumes All of the Deposits of Excel Bank, Sedalia, Missouri

As of June 30, 2012, Excel Bank had approximately $200.6 million in total assets and $187.4 million in total deposits. In addition to assuming all of the deposits of the failed bank, Simmons First National Bank agreed to purchase essentially all of the assets.

The FDIC and Simmons First National Bank entered into a loss-share transaction on $126.6 million of Excel Bank's assets. Simmons First National Bank will share in the losses on the asset pools covered under the loss-share agreement. The loss-share transaction is projected to maximize returns on the assets covered by keeping them in the private sector. The transaction also is expected to minimize disruptions for loan customers. For more information on loss share, please visit: http://www.fdic.gov/bank/individual/fai ... index.html.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $40.9 million. Compared to other alternatives, Simmons First National Bank's acquisition was the least costly resolution for the FDIC's DIF. Excel Bank is the 46th FDIC-insured institution to fail in the nation this year, and the third in Missouri. The last FDIC-insured institution closed in the state was Truman Bank, St. Louis, on September 14, 2012.