Two Bank Failures Raise 2012 Total to 49

By: Krista Franks Brock, DSNews.com

The FDIC added two more banks to this year’s failed bank list Friday, bringing the total year-to-date to 49. The two shuttered banks were located in Illinois and Florida, each marking the eighth bank in their state to close this year.

The Florida-based bank, Heritage Bank out of Lutz, Florida, is estimated to be the more costly of last week’s closures, bringing an estimated $65.5 million loss to the FDIC.

Centennial Bank of Conway, Arkansas, agreed to assume all Heritage Bank’s deposits, and the three branches of Heritage Bank reopened this past weekend as branches of Centennial Bank.
Heritage Bank of Florida held about $225.5 million in assets and $223.3 million in deposits as of the end of the third quarter of this year.

In addition to assuming the bank’s deposits, Centennial will purchase about $193.7 million of Heritage’s assets.

The 49th bank to fail this year was Citizens First National Bank in Princeton, Illinois.
Heartland Bank and Trust Company of Bloomington, Illinois, is now operating Citizens First National Bank’s 21 branches and has assumed all of its deposits.

The failed bank held $869.4 million as of the end of September.

Heartland has also agreed to purchase almost all of the failed bank’s assets, which totaled $924 million as of the end of September.

The total loss to the FDIC as a result of Citizens First National’s closing is estimated at $45.2 million.