Today, the Louisiana Office of Financial Institutions closed Statewide Bank, headquartered in Covington, Louisiana, and the FDIC was named receiver. As receiver, the FDIC entered into a purchase and assumption agreement with Home Bank, headquartered in Lafayette, Louisiana, to assume all of the deposits of Statewide Bank.
As of December 31, 2009, Statewide Bank had approximately $243.2 million in total assets and $208.8 million in total deposits. Home Bank did not pay the FDIC a premium to assume all of the deposits of Statewide Bank, but did agree to purchase essentially all of the failed bank's assets. The FDIC and Home Bank entered into a loss-share transaction on $163.5 million of Statewide Bank's assets.
The FDIC estimates that the cost to the Deposit Insurance Fund will be $38.1 million. Statewide Bank is the 30th FDIC-insured institution to fail in the nation this year, and the first in Louisiana. The last FDIC-insured institution closed in the state was The Farmers Bank & Trust of Cheneyville, Cheneyville, Louisiana, on December 17, 2002.