In Depth Analysis: CalculatedRisk Newsletter on Real Estate (Ad Free) Read it here.

Saturday, December 21, 2013

Unofficial Problem Bank list declines to 633 Institutions

by Calculated Risk on 12/21/2013 09:24:00 AM

This is an unofficial list of Problem Banks compiled only from public sources.

Here is the unofficial problem bank list for December 20, 2013.

Changes and comments from surferdude808:

As anticipated, the OCC released its update on enforcement action activity. Terminations by the OCC and merger activity led to the removal of eight institutions from the Unofficial Problem Bank List. After removal, the list holds 633 institutions with assets of $216.7 billion. A year ago, the list held 841 institutions with assets of $313.3 billion.

The OCC terminated actions against Tomatobank, National Association, Diamond Bar, CA ($409 million); Lincoln FSB of Nebraska, Lincoln, NE ($290 million); The First National Bank of Mercersburg, Mercersburg, PA ($174 million); and United Bank, Springdale, AR ($142 million). Four banks merged to find their way off the list including Citizens Financial Bank, Munster, IN ($1.1 billion Ticker: CITZ); Bank of Alameda, Alameda, CA ($272 million Ticker: NCLC); National Bank of Arkansas in North Little Rock, North Little Rock, AR ($183 million); and Colombo Bank, Rockville, MD ($140 million).

There could be a hiccup in the acquisition by Talmer Bancorp, Inc. of four banks controlled by Capitol Bancorp, Ltd. In a report by SNL Securities (Talmer threatens to walk on Capitol Bancorp deal if closing doesn't occur by New Year's Day), Talmer is not willing to waive its ability to terminate the purchase if the deal cannot close by New Year. Given the Wednesday holidays bisecting each of the next two weeks, the FDIC has likely shuttered its closing operations for the balance of the year. Should Talmer walk, the FDIC may have to deal with the banks controlled by Capitol Bancorp.

Next week, we anticipate the FDIC to release its enforcement action activity through November 2013. Along with those changes, we should be able to update the transition matrix for the fourth quarter. Until then, we wish all a Merry Christmas.