Three more U.S. banks fail

June 5, 2010 at 10:01 AM
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WASHINGTON, June 5 (UPI) -- Bank closings in Mississippi, Illinois and Nebraska have brought the number of failed U.S. banks to 81 so far this year, officials said.

First National Bank in Mississippi, Arcola Homestead Savings Bank in Illinois and TierOne Bank in Nebraska were taken over Friday by state and federal regulators, The Wall Street Journal reported.

The Federal Deposit Insurance Corp., FDIC, took over as receiver for First National. Jefferson Bank assumed all deposits and most assets of First National, reported at about $63.5 million in deposits and $60.4 million in assets at the end of March.

Illinois regulators appointed the FDIC as receiver of Arcola savings. If no other bank is willing to take over operations, the FDIC will send retail depositors checks for insured funds. The FDIC also was appointed receiver for TierOne, whose deposits will be assumed by Great Western Bank, Sioux Falls, S.D.

Last month, the FDIC raised the number of anticipated "problem" banks to 775 from 702 at the end of 2009.

In 2009, 140 U.S. banks failed -- the highest number since 1992.

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