11th April 2009
The Federal Deposit Insurance Corporation said in a statement that New Frontier Bank, one of Colorado state's biggest banks, was closed down by state regulators.
It is Based in Greeley, Colorado. On March 24, it had total assets of two billion dollars and and total deposits of about 1.5 billion.
It was the 23rd bank to close business since January. In this year so far, this is the biggest bank failure. Before this, the biggest bank to fail this year had been California's Merced Bank, which had 1.7 billion in assets.
The FDIC said it "created the Deposit Insurance National Bank of Greeley (DINB), which will remain open for approximately 30 days to allow depositors time to open accounts at other insured institutions."
New Frontier's failure will cost the FDIC around 670 million dollars.
There were no bank failures at all in 2005 and 2006. The US banking system saw three banks going under in 2007, followed by 25 in 2008. So far in 2009, 23 failed.
http://uk.biz.yahoo.com/11042009/323/colorado-bank-biggest-bank-failure-2009.html
Friday, April 10, 2009
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