On Friday, the Georgia Department of Banking and Finance closed McIntosh Commercial Bank, headquartered in Carrollton, Georgia, and the FDIC was named receiver. As receiver, the FDIC entered into a purchase and assumption agreement with CharterBank, headquartered in West Point, Georgia, to assume all of the deposits of McIntosh Commercial Bank.
As of December 31, 2009, McIntosh Commercial Bank had approximately $362.9 million in total assets and $343.3 million in total deposits. CharterBank did not pay the FDIC a premium to assume the deposits of McIntosh Commercial Bank, but did agree to purchase essentially all of the failed bank's assets. The FDIC and CharterBank entered into a loss-share transaction on $263.1 million of McIntosh Commercial Bank's assets.
The FDIC estimates that the cost to the Deposit Insurance Fund will be $123.3 million. McIntosh Commercial Bank is the 38th FDIC-insured institution to fail in the nation this year, and the sixth in Georgia.