) -- Six community banks failed Friday, bringing the 2010 tally of failed U.S. banking institutions to 15.
Friday's failures are expected to cost the Federal Deposit Insurance Corp.'s insurance fund a total of $1.9 billion.
All six failed institutions had been previously assigned E-minus (Very Weak) financial strength ratings by
, and all were included in
undercapitalized banks and thrifts
The Office of the Comptroller of the Currency shut down
First National Bank of Georgia
of Carrollton, Ga., a subsidiary of
. The FDIC was appointed receiver and sold the failed bank's $758 million in deposits for a 1.25% premium to
Community & Southern Bank
, also of Carrollton, Ga.
Community & Southern also acquired the failed bank's $833 million in assets, with the FDIC agreeing to share in losses on $607 million and estimating that the cost to its insurance fund would be $260.4 million. First National Bank of Georgia's 11 offices were set to reopen Saturday as Community & Southern branches.
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State regulators took over another Georgia bank,
Community Bank and Trust
of Cornelia. The FDIC was appointed receiver and arranged for
of Orangeburg, S.C. to take over the failed bank's $1.1 billion in deposits and $1.2 billion in assets for no premium. SCBT NA is a subsidiary of
The FDIC agreed to share in losses on $828 million of the acquired assets, and estimated the failure of Community Bank and Trust would cost the deposit insurance fund $354.5 million.
The failed Bank's 36 branches were scheduled to reopen during normal business hours as SCBT branches, although they will continue to operate under the Community Bank and Trust name.