Two More Bank Closings

The FDIC closed two more banks on Friday. Heritage Community Bank, in Glenwood Illinois was closed at a cost to the FDIC fund estimated at $42.6 million dollars which is 18 cents for each dollar on deposit. The four branches of Heritage Community will reopen Monday as MB Financial Bank.

I added Heritage Community Bank as number 51 to my list last week as it became apparent that the proposed sale to First Community of Joliet wasn't likely to be completed.

The FDIC also closed Security Savings Bank in Henderson, Nevada. The two branches will reopen Monday as part of Bank of Nevada. The cost to FDIC is estimated at $59.1 million dollars which is 25 cents for each dollar on deposit.

Despite a quickening pace of closures, the FDIC list of troubled banks has grown 47% in the last quarter from 171 to 252. The details of the list are not released, but researchers at Foresight Analytics have a similar list with 275 banks. Foresight has 49 Georgia banks on the list, 35 banks in Florida, 32 in Illinois and 14 in California. As a result, I am adding 4 more banks to my list of banks most likely to close in 2009. Two banks are from Illinois, one is from Georgia and one from Minnesota.

Debuting at 53 on the list is Community Bank of Lemont. Despite raising $3 million in capital in September, the bank ended 2008 with a Texas ratio of 429%.

I've also cleaned up the list after I noticed that I had listed First Piedmont Bank twice.

Here's my current list of the 50 56 Banks Most Likely to Close in 2009.

1 Magnet Bank, Salt Lake City, UT
2 Citizens Community Bank, Ridgewood, NJ
3 FirstBank Financial Services, McDonough, GA
4 Westsound Bank, Bremerton, WA
5 Suburban Federal Savings Bank, Crofton, MD
6 America West Bank, Layton, UT
7 The Community Bank, Loganville, GA
8 Silver Falls Bank, Silverton, OR
9 Ocala National Bank, Ocala, FL
10 Sun Security Bank, Ellington, MO
11 Eastern Savings Bank, FSB, Hunt Valley, MD
12 Alliance Bank, Culver City, CA
13 FirstCity Bank, Stockbridge, GA
14 Chestatee State Bank, Dawsonville, GA
15 First Security National Bank, Norcross, GA
16 Ocean Bank, Miami, FL
17 First Georgia Community Bank, Jackson, GA
18 Family Bank and Trust Co., Palos Hills, IL
19 Southern Community Bank, Fayetteville, GA
20 BankCherokee, Saint Paul, MN
21 First Tuskegee Bank, Tuskegee, AL
22 Federal Trust Bank, Sanford, FL
23 Pinnacle Bank, Beaverton, OR
24 Lake Country Community Bank, Morristown, MN
25 Mesa Bank, Mesa, AZ
26 Bank of Wyoming, Thermopolis, WY
27 1st American State Bank of Minnesota, Hancock, MN
28 First State Bank of Altus, Altus, OK
29 EvaBank, Eva, AL
30 Strategic Capital Bank, Champaign, IL
31 Ebank, Atlanta, GA
32 Polk County Bank, Johnston, IA
33 Parkway Bank, Rogers, AR
34 Security Bank of Gwinnett County, Suwanee, GA
35 State Bank of Park Rapids, Park Rapids, MN
36 Herrin Security Bank, Herrin, IL
37 Omni National Bank, Atlanta, GA
38 Northpointe Bank, Grand Rapids, MI
39 Towne Bank of Arizona, Mesa, AZ
40 Haven Trust Bank, Duluth, GA
41 Timberland Bank, El Dorado, AR
42 Blue Ridge Savings Bank, Inc., Asheville, NC
43 First Piedmont Bank, Winder, GA
44 Select Bank, Grand Rapids, MI
45 Oxford Bank, Oxford, MI
46 Security Bank of North Metro, Woodstock, GA
47 MetroPacific Bank, Irvine, CA
48 Earthstar Bank, Southampton, PA
49 Neighborhood Community Bank, Newnan, GA
50 The Home Savings and Loan Company, Youngstown, OH
51 Heritage Community Bank, Glenwood, IL
52 Vineyard Bank, NA, Rancho Cucamonga, CA
53 Community Bank of Lemont, Lemont, IL
54 Mainstreet Bank, Forest Lake, MN
55 Mutual Bank, Harvey, IL
56 Freedom Bank of Georgia, Commerce, GA