December 12, 2009
The Federal Deposit Insurance Corporation Friday closed three more banks, bring the number of bank failures in 2009 to 133.
Regulators closed Republic Federal Bank of Miami, Fla.; Valley Capital Bank of Mesa, Ariz.; and Solutions Bank of Overland Park, Kan.
The four branches of Republic Federal Bank will become part of 1st United Bank of Boca Rotan, Fla., which purchased the deposits. As of September 30, 2009, Republic Federal Bank, N.A. had total assets of approximately $433.0 million and total deposits of approximately $352.7 million.
Valley Capital Bank is being taken over by Enterprise Bank & Trust of Clayton, Mo.
As of September 30, 2009, Valley Capital Bank had total assets of approximately $40.3 million and total deposits of approximately $41.3 million. Enterprise Bank paid the FDIC a 2 percent premium for the right to assume all of the deposits of Valley Capital Bank. In addition to assuming all of the deposits of the failed bank, Enterprise Bank agreed to purchase essentially all of the failed bank's assets.
Arvest Bank, Fayetteville, Arkansas, has agreed to assume all of the deposits of SolutionsBank.
As of September 30, 2009, SolutionsBank had total assets of $511.1 million and total deposits of approximately $421.3 million. Arvest Bank did not pay the FDIC a premium for the deposits of SolutionsBank. In addition to assuming all of the deposits of the failed bank, Arvest Bank agreed to purchase essentially all of the assets.
The total cost to the taxpayers of the three bank failures is $339.9 million, according to FDIC.
