The first three failures of the quarter late Friday cost the Deposit Insurance Fund an estimated $590 million and brought the year's toll to 51.
Two banks were closed in Colorado: the $717 million-asset Colorado Capital Bank in Castle Rock and the $67 million-asset Signature Bank in Windsor. Regulators also shut the $959 million-asset First Chicago Bank & Trust. The Federal Deposit Insurance Corp. found buyers for all three institutions.
The Colorado failures were the third and fourth in the state this year.
The FDIC sold Colorado Capital to First-Citizens Bank & Trust Co. in Raleigh, N.C., which agreed to assume all of the failed bank's $673 million of deposits and acquire essentially all of its assets. First-Citizens and the FDIC will share losses on $580 million of those assets. The failure was estimated to cost about $284 million.
Signature's closure cost the FDIC an estimated $22 million. Points West Community Bank in Julesburg, Colo., agreed to assume all of the failed bank's $64 million of deposits and acquire roughly all of its assets.
Meanwhile, the operations of First Chicago - the fifth Illinois institution to close this year - went to Northbrook Bank & Trust Co. in Northbrook, Ill. The buyer agreed to pay a 0.5% premium to assume all of the failed bank's $887 million of deposits. Northbrook also acquired about $881 million of First Chicago's assets, sharing losses with the FDIC on about $700 million of those assets. The failure was estimated to cost the DIF about $284 million.
