Nevada saw its third failure of the year late Friday, with the collapse of $480 million-asset Nevada Security Bank in Reno.
Umpqua Bank of Roseburg, Ore., the bank unit of $9.4 billion-asset Umpqua Holdings Corp., assumed all of Nevada Security's $480 million in deposits and essentially all of its assets.
Umpqua entered into a loss-share agreement with the Federal Deposit Insurance Corp. on $368.2 million of Nevada Security's assets, and paid no premium for the failed bank's deposits.
The failure is estimated to cost $80.9 million and brought the total number of bank collapses this year to 83.
By taking over Nevada Security's five branches, Umpqua makes its entrance into the Silver State. It already had branches in Oregon, Washington and northern California. Umpqua chief executive Ray Davis has expressed a willingness to use failed bank deals to enter new territories.
Umpqua last struck a deal with the FDIC in late February for the $718 million-asset Rainier Pacific Bank in Tacoma, Wash.
