California

When two tiny banks merge to form a slightly less tiny bank, which institution really reaps the efficiencies: the merged entity — or a larger acquirer down the road?

Private Bank of the Peninsula in Palo Alto, Calif., said Friday it has changed its name to Avidbank.

Embarcadero Bank said late Tuesday that it has agreed to buy Coronado First Bank. The Coronado, Calif., banks will merge in a deal valued at $9.3 million, or $6.30 a share, according to a press release.

Reissued consent orders are longer and far more detailed, with higher capital ratio standards, despite improvements banks have already made.

Data on failed banks sold in the first 10 weeks of the year hints at a broader shift toward buyers going it alone.

Tri-Valley Bank in San Ramon, Calif., said late Monday that it had terminated a planned $10 million private placement and had named a new chairman.

Grandpoint Capital Inc. in Los Angeles has agreed to buy Orange Community Bancorp. Under the agreement, shareholders of the $223.6 million-asset Orange Community would receive $30 million in cash, or $11.70 a share.

The head of California United Bank in Encino, David Rainer, was appointed to the board of the Federal Reserve Bank of San Francisco, California United announced Thursday.

California United Bank in Encino reported a net loss of $2.3 million for 2010, compared with net income of $745,000 in 2009.

A spike in credit costs in the fourth quarter led United Security Bancshares in Fresno, Calif., to post a $2.9 million loss for 2010.

Regulators have ordered Sunwest Bank in Tustin, Calif., to improve its compliance with the Bank Secrecy Act.

The $172 million-asset Pacific Valley Bank in Salinas said the Federal Deposit Insurance Corp. and the California Department of Financial Institutions ended the order in mid-January.

Wilshire Bancorp Inc. of Los Angeles said late Friday that it had hired Jae Whan Yoo, who resigned abruptly from Center Financial Corp. of Los Angeles in January, as president and chief executive.

Four bank failures book-ended the country on Friday. The four banks had a total of $1.05 billion in assets and are expected to cost the Deposit Insurance Fund $267.6 million collectively. So far, 22 institutions have failed so far this year.

Regulators on Wednesday cleared Motion Picture Federal Credit Union to merge into the $80 million-asset Musicians Interguild Credit Union in Hollywood, Calif.

Broadway Financial Corp. in Los Angeles announced Wednesday that the Treasury Department has agreed to take a 50% haircut on its holdings to help bolster the company's recapitalization efforts.

Four failed-bank deals announced Friday evening marked another successful night for private equity.

Pacific Capital Bancorp in Santa Barbara, Calif., earned $20.8 million in the fourth quarter in its first full quarter after a $500 million capital infusion.

Center Financial Corp. in Los Angeles swung to a $5.7 million fourth-quarter profit from a loss of $25.2 million as credit quality showed signs of stability.

Banking companies were not alone in reporting improved 2010 financial results. A growing number of big, troubled credit unions are also reporting positive income for last year, and others are slashing their losses, more proof of an improving economy.