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South Carolina Lender Shut Down by Federal Regulators

""Atlantic Bank and Trust"":https://www.myatlanticbank.com/ in Charleston, South Carolina, was closed Friday by the Office of Thrift Supervision (OTS), bringing the count of ""FDIC-insured bank failures"":http://www.fdic.gov/bank/individual/failed/banklist.html to 45 for the year.

According to a statement from the OTS, the decision was made to shut down the South Carolina lender because it[IMAGE] [COLUMN_BREAK]

was ""critically undercapitalized"" and ""has materially failed to implement a capital restoration plan.""

Atlantic Bank and Trust operated three regional branch locations, two in South Carolina and one in Georgia. As of the end of March, it had approximately $208.2 million in assets and $191.6 million in deposits.

The FDIC brokered a deal with ""First Citizens Bank and Trust Company"":https://www.firstcitizensonline.com/, also headquartered in South Carolina, to take over the failed lender. First Citizens will pay a premium of 0.75 percent for the deposits and has also agreed to purchase essentially all of the assets.

The FDIC and First Citizens entered into a loss-share transaction on $141.8 million of Atlantic Bank and Trust's assets.

The closing is expected to cost the FDIC an estimated $36.4 million. Atlantic Bank and Trust is the second South Carolina institution to go under this year.

About Author: Carrie Bay

Carrie Bay is a freelance writer for DS News and its sister publication MReport. She served as online editor for DSNews.com from 2008 through 2011. Prior to joining DS News and the Five Star organization, she managed public relations, marketing, and media relations initiatives for several B2B companies in the financial services, technology, and telecommunications industries. She also wrote for retail and nonprofit organizations upon graduating from Texas A&M University with degrees in journalism and English.
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