In US, four more banks collapse

Source: Press TV
http://www.presstv.ir/detail.aspx?id=134176§ionid=3510203


Four more banks in the United States have been shut down, bringing the number of banks fallen prey to an economic downturn to 90 so far this year.

The Federal Deposit Insurance Corporation (FDIC) on Friday seized Bay National Bank and Ideal Federal Savings Bank, both based in Baltimore, Maryland.

The FDIC regulators also closed USA Bank in Port Chester, New York and Home National Bank in Blackwell, Oklahoma.

The closed banks were holding USD 1.13 billion in combined assets. The closures cost the FDIC deposit-insurance fund USD 159.9 million.

FDIC Chairman Sheila Bair told Bloomberg in an interview that 2010 is going to be the peak year for bank failures in the US.

Since 2009, the US has seen the fall of 230 banks.

“The remaining shakeout will be geographically concentrated and much more restricted to smaller institutions,” said Steve Reider, president of Bancography, a consulting firm based in Birmingham, Alabama, according to Bloomberg.

“I continue to think that geography is destiny.”

Georgia, Illinois and Florida are among the states hit hardest by the banking crisis