TACOMA, Wash.-- Key Bank of Washington said it has acquired certain loans and insured deposits of Seattle-based Emerald City Bank. The Tacoma-based banking subsidiary of Keycorp said it will convert an Emerald City office in Seattle into a branch.
Terms of the deal, which Key said was accepted by the Federal Deposit Insurance Corp. on July 2, were not disclosed. The purchase follows an earlier announcement that Washington State's supervisor of banking had taken possession of Emerald City Bank and had appointed the FDIC as receiver to handle Emerald City's assets.
Key, based in Albany, N.Y., recently dismissed the chief executive of its Tacoma-based banking subsidiary, citing dissatisfaction with its returns. The unit has grown fast through acquisition but has not been embraced by local communities.