Banks in Illinois, Mississippi, and Nebraska were closed by their regulators over the weekend, bringing the number of ""failed FDIC-insured institutions"":http://www.fdic.gov/bank/individual/failed/banklist.html to 81 for the year.
[IMAGE] The FDIC was unable to find another financial institution to take over the banking operations of ""Arcola Homestead Savings Bank"":http://www.fdic.gov/news/news/press/2010/pr10131.html in Arcola, Illinois, and has approved the payout of the failed banks' deposits. Arcola Homestead had approximately $17.0 million in assets and $18.1 million in deposits, all of which were insured. [COLUMN_BREAK]The FDIC estimates that the bank's failure will cost the agency $3.2 million. Illinois has now had 12 bank closings this year, trailing only Florida with 13.
In Rosedale, Mississippi, ""First National Bank"":http://www.fdic.gov/news/news/press/2010/pr10130.html was closed. The FDIC brokered a deal with Fayette, Mississippi's ""Jefferson Bank"":http://www.thejeffersonbank.com/about/index.htm to take over First National's single branch, its $60.4 million in assets and $63.5 million in deposits.
The FDIC and Jefferson Bank entered into a loss-share transaction on $43.5 million of the failed bank's assets. The federal agency estimates the closure, which is the first in the state of Mississippi in nearly ten years, to cost it $12.6 million.
""TierOne Bank"":https://www.tieronebank.com in Lincoln, Nebraska, operated 69 branch locations, with $2.8 billion in assets and $2.2 billion in deposits. ""Great Western Bank"":http://www.greatwesternbank.com/welcome out of Sioux Falls, South Dakota, agreed to pay the FDIC a premium of 1.5 percent for the failed bank's deposits and purchase all of its assets. The FDIC will share in the losses on $1.9 billion of the acquired assets.
TierOne's failure is expected to cost the FDIC an estimated $297.8 million. It is the first bank in Nebraska to go under in more than a year.