On Friday, the OCC closed Marshall Bank , National Association, headquartered in Hallock, Minnesota, and the FDIC was named receiver. As receiver, the FDIC entered into a purchase and assumption agreement with United Valley Bank, headquartered in Cavalier, North Dakota, to assume all of the deposits of Marshall Bank. United Valley Bank will pay the FDIC a premium of 7.35% for the deposits of the failed bank.
As of September 30, 2009, Marshall Bank had approximately $59.9 million in total assets and $54.7 million in total deposits. United Valley Bank agreed to purchase essentially all of Marshall Bank's assets. The FDIC and United Valley Bank entered into a loss-share transaction on $23.9 million of Marshall Bank's assets.