Pisgah Community Bank (Asheville, North Carolina) and Sunrise Bank (Valdosta, Georgia) became the 11th and 12th federally insured banks to fail in the nation this year, ""FDIC"":http://fdic.gov/ announced.[IMAGE] [COLUMN_BREAK]
To protect depositors at Pisgah Community Bank, FDIC entered into a purchase and assumption agreement with Capital Bank, National Association, of Rockville, Maryland. In addition to assuming all of the failed bank's $21.2 million in deposits, Capital Bank will purchase approximately $19.8 million of its assets. The remaining $2.1 million will be retained by FDIC for later disposition.
FDIC estimates the cost to the Deposit Insurance Fund will be $8.9 million. In addition to being the 11th FDIC-insured institution to fail to this year, Pisgah Community Bank is the second to close in North Carolina.
In Georgia, FDIC entered into a purchase and assumption agreement with Synovus Bank to assume all $57.8 million of Sunrise Bank's deposits and to purchase $13.2 million of its assets. FDIC will retain the remaining $47.6 million for later disposition.
Sunrise Bank's collapse cost the Deposit Insurance Fund an estimated $17.3 million, according to FDIC. It was the third bank to fall in Georgia this year.