The Federal Deposit Insurance Corporation (FDIC) entered into a purchase and assumption agreement for the assets and deposits of the recently created Independent Bankers' Bank Bridge Bank, National Association (IBBBB). The bridge bank was created by the FDIC on December 18, 2009, to take over the operations of Independent Bankers' Bank, Springfield, Illinois, when the bank was closed by the Illinois Department of Financial and Professional Regulation—Division of Banking.
TIB—The Independent BankersBank, Irving, Texas, will assume the deposits and purchase some of the assets of IBBBB. In a separate transaction, Empire Advisory Group, Inc., Springfield, Illinois, a financial services firm, will purchase the corporate trust department of the failed bank.
TIB will provide correspondent banking services to IBBBB's client banks.
As of December 31, 2009, IBBBB had approximately $269.3 million in total assets and $285.3 million in total deposits.
TIB will purchase approximately $111.8 million of IBBBB's assets and pay a premium of 0.32 percent to assume all of the deposits. Empire Advisory Group, Inc. will pay $119,000 for IBBBB's corporate trust department relating to client banks. The FDIC will dispose of the remaining assets at a later date.
Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's banking system. The FDIC insures deposits at the nation's 8,099 banks and savings associations and it promotes the safety and soundness of these institutions by identifying, monitoring and addressing risks to which they are exposed. The FDIC receives no federal tax dollars – insured financial institutions fund its operations.
FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically (go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information Center (877-275-3342 or 703-562-2200). PR-6-2010