WASHINGTON — The government seized three Midwest banks late Friday, costing the Deposit Insurance Fund just over $500 million.
Regulators shuttered the $1.2 billion-asset Premier Bank in Jefferson City, Mo., the $508 million-asset Security Savings Bank in Olathe, Kan.; and the $91 million-asset WestBridge Bank and Trust Co. in Chesterfield, Mo. The three failures brought the year's total to 132.
Premier's operations were snatched up by Providence Bank, located in Columbia, Mo. The acquirer agreed to assume all of Premier's $1 billion in deposits and purchase $658 million of its assets. The Federal Deposit Insurance Corp. will share losses with Providence on nearly $409 million of those assets. The failure was estimated to cost the FDIC $407 million.
Simmons First National Bank in Pine Bluff, Ark., agreed to assume all of Security Savings' $397 million in deposits and acquire essentially all of its assets. Simmons and the FDIC will share losses on $334 million of those assets. The FDIC estimated the failure will cost $82 million.
The FDIC sold WestBridge to Midland States Bank in Effingham, Ill. The buyer agreed to assume all $72 million in deposits and acquire roughly all of the failed bank's assets. WestBridge and the FDIC agreed to share losses on $72.6 million of those assets. The failure was estimated to cost $18.7 million.