Saturday, October 22, 2011

Unofficial Problem Bank list declines to 976 Institutions

by Bill McBride on 10/22/2011 06:42:00 PM

Note: this is an unofficial list of Problem Banks compiled only from public sources.

Here is the unofficial problem bank list for Oct 21, 2011. (table is sortable by assets, state, etc.)

Changes and comments from surferdude808:

With four removals and one addition, the Unofficial Problem Bank List finished the week at 976 institutions with assets of $401.9 billion. For comparative purposes, the list had 871 institutions with assets of $402.2 billion last year.

Failure was the cause for the four removals that include Community Banks of Colorado, Greenwood Village, CO ($1.4 billion); Old Harbor Bank, Clearwater, FL ($216 million Ticker: OHBK); Decatur First Bank, Decatur, GA ($192 million); and Community Capital Bank, Jonesboro, GA ($181 million).

The two failures in Georgia push that state's total to 73 at a cost of $9.3 billion since the on-set of the crisis in 2008. In all, the FDIC's Atlanta Region has seen 154 failures at a cost of $27.7 billion. Perhaps these figures would be lower if the supervision team in that region had taken seriously the many warnings it received long before the on-set of the crisis on the riskiness of the C&D lending exposures. As an aside, it is interesting how many of the involved principals still hold high level positions at the FDIC or have gone on to lucrative consulting jobs. As the OWS movement wants Wall Street executives held accountable for the economic dislocations they caused, how about a movement to hold the regulatory agency executives accountable for their failings that contributed to those dislocations.

The addition this week is Town Center Bank, Frankfort, IL ($130 million). Again, we applaud the disclosure of this action by the Illinois State Banking Department, which is the most transparent department among all of the states.

The OCC used to release its monthly enforcement action activity on the Friday subsequent to the 15th day of the month. However, the OCC has not released on that schedule the past two months. We guess the OCC will release some information next week.
Earlier:
Schedule for Week of Oct 23rd
Summary for Week ending Oct 21st