Regulators have postponed approval of Washington Federal Savings Inc.'s deal to buy a nearby thrift, because of unresolved compliance issues at the Seattle buyer.
The $10.3 billion-asset Washington Federal said Tuesday in a Securities and Exchange Commission filing that the Office of Thrift Supervision has delayed the processing for its application to buy the $1 billion-asset First Mutual Bancshares Inc. of Bellevue while it continues to assess compliance issues stemming from an August examination of Washington Federal Savings and Loan Association.
The $200 million deal for First Mutual, announced in July, was expected to close this quarter.
In the SEC filing, Washington Federal said that it was working with the OTS to resolve the compliance issues, but "no assurances can be given as to when or whether the OTS will approve the application."
Company officials did not return phone calls to explain the compliance issues.
