2 Banks Closed Over Labor Day Weekend

Georgia Commerce Bank Acquires Latest Failed Institutions
2 Banks Closed Over Labor Day Weekend
Two banks were closed and one credit union was conserved by state and federal banking regulators on Thursday, Sept. 1, and Friday, Sept. 2. These failures bring the year's tally to 87 failed institutions.

The latest failures:

Patriot Bank of Georgia, Cumming, Ga.

Georgia Commerce Bank, Atlanta, acquired the banking operations, including all the deposits, of Patriot Bank of Georgia, Cumming, Ga. The bank was closed by the Georgia Department of Banking and Finance, which appointed the Federal Deposit Insurance Corp. as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Georgia Commerce Bank.

As of June 30, Patriot Bank of Georgia had approximately $150.8 million in total assets and $111.2 million in total deposits.

The FDIC estimates that the cost to the Deposit Insurance Fund for Patriot Bank of Georgia will be $44.4 million.

CreekSide Bank, Woodstock, Ga.

Georgia Commerce Bank, Atlanta, acquired the banking operations, including all the deposits, of CreekSide Bank, Woodstock, Ga. The bank was closed by the Georgia Department of Banking and Finance, which appointed the FDIC as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Georgia Commerce Bank.

As of June 30, CreekSide Bank had total assets of $102.3 million and total deposits of $96.6 million.

The FDIC estimates that the cost to the DIF for CreekSide Bank will be $27.3 million.

Western Bridge Corporate FCU, San Dimas, Calif.

The member-driven solution for United Resources Federal Credit Union to succeed Western Bridge Corporate Federal Credit Union did not achieve enough capital subscriptions to reach the stated goal of $200 million by Aug. 31.

As a result, the National Credit Union Administration said Western Bridge, based in San Dimas, Calif., was committed to an orderly and timely resolution that ensures uninterrupted service to all member credit unions, and had no immediate plans to close the credit union.


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