We're months away from winter snows, but this one's got me feeling a very chilly tone.
As per usual when a bank fails, the news goes out on Friday past the news cycle so people won't pay attention to it. This bit of news was especially well-placed, considering the hoopla around Obama's pick for veep being announced.
People in other parts of the country might not care, but depositors of Columbian Bank and trust wanted their $622 million in hand, I'm sure.
Here's the WSJ piece - note that the FDIC will announce other institutions that are troubled on Tuesday:
WASHINGTON -- State regulators shut down Columbian Bank and Trust Co. of Topeka, Kan. on Friday, the ninth bank to fail this year and fifth since July 11.
The Federal Deposit Insurance Corp. estimated the failure would cost its deposit insurance fund $60 million. Columbian Bank and Trust had $752 million of assets and $622 million of deposits as of June 30, the FDIC said.
The FDIC sold to Citizens Bank and Trust of Chillicothe, Mo., the insured deposits of the failed bank, which had nine branches. In addition, Citizens Bank and Trust agreed to buy $85.5 million of Columbian Bank and Trust's assets, which are mostly cash, cash equivalents and securities.
The FDIC said Citizens Bank and Trust did not purchase roughly $268 million of brokered deposits at the failed bank.
Regulators have warned of more bank failures this year after several years of historically low levels. The credit market turmoil has hit banks of all sizes, leading to depositor worries across the country.
On Tuesday, the FDIC is scheduled to provide an updated number of the banks that were on its "problem" list as of June 30.