Seven More Banks Fail, Bringing Total to 140
The other failures were smaller. Atlanta's RockBridge Commercial Bank collapsed while holding $294 million in assets and $291.7 million in deposits; Citizens State Bank of New Baltimore, Mich., had $168.6 million in assets and $157.1 million in deposits. New South Federal Savings Bank, in Irondale, Ala., was a bit larger, with $1.5 billion in assets and $1.2 billion in deposits, as was Peoples First Community Bank of Panama City, Fla., ($1.8 billion in assets and $1.7 billion in deposits).
In Springfield, Ill., Independent Banker's Bank, which served as a type of wholesale bank to 450 client banks in four states, shut down. It had $585.5 million in assets and $511.5 million in deposits. OneWest Bank of Pasadena, Calif., is buying all its deposits and basically all its assets. Independent's 39 branches reopened on Saturday under the OneWest banner.
The only bank for which the FDIC couldn't find a buyer was RockBridge, so the FDIC will mail checks to its account-holders to cover insured deposits.
These bank failures subtract another $1.8 billion from the FDIC's insurance fund:
- First Federal Bank of California: $146.3 million
- Imperial Capital: $619.2 million
- Citizens State Bank: $76.6 million
- New South Federal Savings Bank: $212.3 million
- Peoples First Community Bank: $556.7 million
- Independent Banker's Bank: $68.4 million
- RockBridge Commercial Bank: $124.2 million
The high number of bank failures has pushed the FDIC insurance fund into the red and has cost $30 billion. The FDIC expects the cost of the crisis to its insurance fund to reach $100 billion over the next four years.