On Friday, the Georgia Department of Banking and Finance closed The Gordon Bank, headquartered in Gordon, Georgia, and appointed the FDIC as receiver. As receiver the FDIC entered into a purchase and assumption agreement with Morris Bank, headquartered in Dublin, Georgia, to assume all of the deposits of the failed bank.
As of June 30, 2010, The Gordon Bank had approximately $29.4 million in total assets and $26.7 million in total deposits. Morris Bank paid the FDIC a premium of 0.05 percent for the deposits of The Gordon Bank. In addition, Morris Bank agreed to purchase approximately $11.5 million of The Gordon Bank's assets, consisting of cash and cash equivalents. The FDIC will retain the remaining assets for later disposition.