Yesterday, the OCC closed Flagship National Bank, headquartered in Bradenton, Florida, and the FDIC was named as receiver. As receiver, the FDIC entered into a purchase and assumption agreement with First Federal Bank of Florida, to assume all of the deposits of Flagship National Bank. First Federal Bank of Florida did not pay a premium for the deposits.
As of August 31, 2009, Flagship National Bank had total assets of $190 million and total deposits of approximately $175 million. First Bank of Florida also agreed to purchase essentially all of the assets of the failed bank. The FDIC and First Federal Bank of Florida entered into a loss-share transaction on approximately $130 million of Flagship National Bank’s assets.