Bank Closings Rise To 80 For The Year

Four banks fell Friday, bringing the total number of closings this year to 80, the Federal Deposit Insurance Corp. (FDIC) reports. The closings occurred in Georgia, North Carolina, New Jersey and Illinois and are expected to cost the agency's insurance fund about $221.7 million.

The Georgia Department of Banking and Finance closed Gray, Ga.-based Piedmont Community Bank. Macon, Ga.-based State Bank and Trust Co. has agreed to assume the bank's deposits and assets, which were approximately $201.7 million and $181.4 million at the end of the second quarter, respectively.

The North Carolina Office of Commissioner of Banks closed Asheville, N.C.-based Blue Ridge Savings Bank Inc., whose assets and deposits were acquired by Thomasville, N.C.-based Bank of North Carolina. The FDIC and Bank of North Carolina entered into a loss-share transaction on $143.2 million of Blue Ridge Savings Bank's assets. (The failed bank's assets totaled about $161 million as of June 30.)

The New Jersey Department of Banking and Insurance shuttered Cranford, N.J.-based First State Bank. Staten Island, N.Y.-based Northfield Bank agreed to take over the deposits and assets, valued at $201.2 million and $204.4 million at the end of the second quarter, respectively.

Lastly, the Illinois Department of Financial and Professional Regulation – Division of Banking closed Aledo, Ill.-based Country Bank. The FDIC entered into a purchase-and-assumption agreement with Milan, Ill.-based Blackhawk Bank & Trust, which picks up $113.3 million of the failed bank's assets and all of Country Bank's deposits. Country Bank's assets totaled $190.6 million as of June 30, and the FDIC says it will keep the remaining assets for later disposition.

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