First Piedmont Bank of Georgia Fails; Tally Rises to 54 for ’09

Another bank failure. Federal regulators seized control of First Piedmont Bank of Georgia late Friday, bringing the year’s total to 54.

From the FDIC:

First Piedmont Bank, Winder, Georgia, was closed today by the Georgia Department of Banking and Finance, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with First American Bank and Trust Company, Athens, Georgia, to assume all of the deposits of First Piedmont Bank.

As of July 6, 2009, First Piedmont Bank had total assets of $115 million and total deposits of approximately $109 million. First American Bank and Trust Company paid a deposit premium of 1.01 percent. In addition to assuming all of the deposits of the failed bank, First American Bank and Trust Company agreed to purchase approximately $111 million of assets.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $29 million….First Piedmont Bank is the…tenth [bank to fail] in Georgia. The last FDIC-insured institution to be closed in the state was Neighborhood Community Bank, Newnan, on June 26, 2009.

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