The recent stretch of days with no bank failures has come to an end after a short three-week stint. ""Horizon Bank"":http://www.horizonbankfl.com/ in Bradenton, Florida, was closed over the weekend by the Florida Office of Financial Regulation.
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It pushes the FDIC's ""failed-bank tally"":http://www.fdic.gov/bank/individual/failed/banklist.html for the year to 119. Florida has been a hot-bed for bank busts in 2010. So far 23 FDIC-insured institutions in the Sunshine State have gone under, more than in any other state.
The FDIC brokered a deal with ""Bank of the Ozarks"":http://www.bankozarks.com in Little Rock, Arkansas, to take over Horizon Bank's operations and
[COLUMN_BREAK]purchase its assets. The failed bank had four branch offices, $164.6 million in deposits, and $187.8 million in total assets.
Bank of the Ozarks did not pay the FDIC a premium for the deposits, and the FDIC agreed to share the losses on $150.4 million of the acquired assets.
According to ""TheStreet.com"":http://www.thestreet.com/story/10858116/1/floridas-horizon-bank-fails-2010-total-at-119.html?cm_ven=GOOGLEFI Horizon Bank had been undercapitalized since the second quarter of 2009. The bank posted a small Q2 2010 profit, but its net losses for the first half of the year amounted to $1.75 million.
This marked Bank of the Ozarks' third failed-bank acquisition this year. It also stepped in to pick up the pieces of Unity National Bank in Cartsville, Georgia, and Woodlands Bank in Bluffton, South Carolina when they went under.
The ""FDIC recently reported"":http://dsnews.comarticles/index/fdic-adds-54-problem-banks-to-its-watch-list-2010-08-31 that the names on its so-called ""Problem List"" of banks climbed to 829 at the end of the second quarter.
The number of troubled institutions now under the agency's watchful eye is the highest it's been since March 1993, when the savings and loan crisis was in full swing.