NEW YORK ( TheStreet) -- State regulators on Friday closed Fidelity Bank of Dearborn, Mich., bringing this year's total number of bank failures to 16.
Fidelity Bank had $818.2 million in total assets and $747.6 million in deposits when it was closed by the Michigan Office of Financial and Insurance Regulation, which appointed the Federal Deposit Insurance Corp. as receiver.
The FDIC sold the failed bank to The Huntington National Bank, of Columbus, Ohio, which is the main subsidiary of Huntington Bancshares (HBAN).The failed bank's 15 offices were set to reopen Saturday as branches of The Huntington National Bank. The FDIC estimated the cost of Fidelity Bank's failure to the deposit insurance fund would be $92.8 million. Huntington Bancshares said in a statement that the purchase of the failed bank would result in "an acquisition asset discount of approximately $150 million," and that the acquisition of Fidelity Bank was "expected to be over 2% accretive to earnings per share, less than 1% accretive to tangible book value, and very modestly dilutive to Huntington's capital ratios."
Thorough Bank Failure CoverageFidelity Bank was the first Michigan institution to fail this year. All 429 previous bank and thrift closures since the beginning of 2008 are detailed in TheStreet's interactive bank failure map:
Philip van Doorn. To follow the writer on Twitter, go to http://twitter.com/PhilipvanDoorn.
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