First NBC Enters Florida by Buying Failed Bank

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The Office of the Comptroller of the Currency closed First National Bank of Crestview in Florida on Friday, marking this year's first bank failure.

Acting as receiver for failed bank, the Federal Deposit Insurance Corp. enter into an agreement with First NBC Bank in New Orleans, La., to assume all of the deposits, which totaled $78.6 million at Sept. 30. First NBC also agreed to buy about $62 million of the failed bank's $80 million in assets.

"The acquisition marks First NBC's entry into the Florida market," Ashton Ryan Jr., the company's president and chief executive, said in a press release Friday. "First NBC expects to expand its newly acquired Florida footprint to the Florida coast in the near future."

The FDIC said it would retain the remaining assets for later disposition. The failure is expected to cost the Deposit Insurance Fund $4.4 million.

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