4 Banks Closed on Jan. 21

United Western Bank Tops List of Latest Failures
4 Banks Closed on Jan. 21
United Western Bank, Denver, Colo., was the largest of four institutions closed by federal and state regulators on Friday, Jan. 21.

The $2.05 billion bank has been acquired by First-Citizens Bank & Trust Company, Raleigh, N.C., which assumes all of the deposits of United Western Bank. The eight branches of United Western Bank will reopen on Monday as branches of First-Citizens Bank & Trust Company.

These latest announcements of failed institutions raise the total to 7 so far in 2011.

The latest failures:

The Bank of Asheville, N.C.

The Bank of Asheville, Asheville, N.C., was closed by the North Carolina Office of Commissioner of Banks, which appointed the Federal Deposit Insurance Corporation. as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with First Bank, Troy, N.C., to assume all of the deposits of The Bank of Asheville.

The five branches of The Bank of Asheville will reopen on Monday as branches of First Bank. Depositors of The Bank of Asheville will automatically become depositors of First Bank.

As of Sept. 30, The Bank of Asheville had approximately $195.1 million in total assets and $188.3 million in total deposits.

The FDIC estimates that the cost to the DIF will be $56.2 million.

CommunitySouth Bank and Trust, Easley, S.C.

CommunitySouth Bank and Trust, Easley, S.C., was closed by the South Carolina State Board of Financial Institutions, which appointed the FDIC as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with CertusBank, National Association, Easley, S.C., a newly chartered bank subsidiary of Blue Ridge Holdings Inc., Charlotte, N.C., to assume all of the deposits of CommunitySouth Bank and Trust.

The six branches of CommunitySouth Bank and Trust were to reopen on Saturday as branches of CertusBank, N.A. Depositors of CommunitySouth Bank and Trust will automatically become depositors of CertusBank, N.A.

As of Sept. 30, CommunitySouth Bank and Trust had approximately $440.6 million in total assets and $402.4 million in total deposits.

The FDIC estimates that the cost to the DIF will be$46.3 million.

Enterprise Banking Company, McDonough, Ga.

Enterprise Banking Company, McDonough, Ga., was closed by the Georgia Department of Banking and Finance, which appointed the FDIC as receiver. To protect the depositors, the FDIC created the Deposit Insurance National Bank of McDonough, which will remain open until Jan. 28 to allow depositors access to their insured deposits and time to open accounts at other insured institutions.

The main office and all branches of Enterprise Banking Company will re-open on Monday, Jan. 24, and will provide limited services. The DINB will maintain limited business hours for Enterprise Banking Company. All government direct deposits, including Social Security checks, have been redirected to United Community Bank, Blairsville, Ga., which will process them at the same time as in the past. Banking activities, such as writing checks and ATM and debit card withdrawals, can continue normally for former customers of Enterprise Banking Company until Jan. 26. Official checks of Enterprise Banking Company will continue to clear and will be issued to customers who will be closing their accounts. For depositors who have not closed or transferred their accounts on or before Jan. 28, 2011, the FDIC will mail checks to the address of record for the amount of the insured funds.

As of Sept. 30, 2010, Enterprise Banking Company had $100.9 million in total assets and $95.5 million in total deposits.

The FDIC estimates that the cost to the DIF will be $39.6 million.

United Western Bank, Denver

United Western Bank, Denver, was closed by the Office of Thrift Supervision, which appointed the FDIC. as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with First-Citizens Bank & Trust Company, Raleigh, N.C., to assume all of the deposits of United Western Bank.

The eight branches of United Western Bank will reopen on Monday as branches of First-Citizens Bank & Trust Company. Depositors of United Western Bank will automatically become depositors of First-Citizens Bank & Trust Company.

As of Sept. 30, United Western Bank had approximately $2.05 billion in total assets and $1.65 billion in total deposits..

The FDIC estimates that the cost to the Deposit Insurance Fund will be $312.8 million.


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