> "Regulators shut down the John Warner Bank of Clinton, Ill.; the First
> State Bank of Winchester in Winchester, Ill.; the Rock River Bank of
> Oregon, Ill.; the Elizabeth State Bank of Elizabeth, Ill.; the First
> National Bank of Danville in Danville, Ill.; the Founders Bank of
> Worth, Ill.; and Millennium State Bank of Texas, based in Dallas."http://www.nytimes.com/2009/07/03/business/03banks.html?ref=business

> "The FDIC and The First National Bank of Beardstown entered into a
> loss-share transaction on approximately $20 million of The First State
> Bank of Winchester's assets."http://www.istockanalyst.com/article/viewiStockNews/articleid/3330752

> All these banks except for First National Bank fell under FDIC
> supervision (Class NM)
> *NM = commercial bank, state charter and Fed nonmember, supervised by
> the FDIC*http://www2.fdic.gov/idasp/main.asp

> This is the first page of the latest failed bank list on the FDIC
> website; 11 out of 20 were under its supervision.http://www.fdic.gov/bank/individual/failed/banklist.html

> Mirae Bank (NM) June 26, 2009
> MetroPacific Bank (NM)
> Horizon Bank (NM)
> Neighborhood Community Bank
> Community Bank of West Georgia
> First National Bank of Anthony
> Cooperative Bank (NM)
> Southern Community Bank (NM)
> Bank of Lincolnwood (NM)
> Citizens National Bank
> Strategic Capital Bank (NM)
> BankUnited, FSB
> Westsound Bank (NM)
> America West Bank (NM)
> Citizens Community Bank (NM)
> Silverton Bank, NA
> First Bank of Idaho
> First Bank of Beverly Hills (NM)
> Michigan Heritage Bank
> American Southern Bank (NM) April 24, 2009

> Why would anyone want to buy any bank? As long as our regulators don't
> follow rules nobody would want to deal with the government. Sheila
> Bair now says these private investors must maintain a tier I capital
> ratio of at least 15% but back when Wamu had a tier I capital ratio of
> 8.4% (yes not as high as 15% but a pretty good number at that time)
> she still seized it.

> "The FDIC today released a memorandum designed to provide guidlines to
> private equity firms looking to own banks.  A summary is (emphasis
> mine):

> Pursuant to the proposed policy statement, the Investors’ holding
> company will be expected to provide for the capital support of the
> acquired or de novo depository institution through a strong initial
> capital contribution – maintaining a minimum 15 percent Tier 1
> leverage ratio for a period of at least 3 years. Staff believes that
> up-front capital protection for the depository institution would
> provide an effective cushion that could have a lasting impact...

> Now, some might recall that banks were judged on their Tier 1 ratio
> once upon a time.  Regulators then swung to tangible common equity and
> settled into tangible capital.  But now that the danger has passed and
> all is better (right?), the FDIC swings back to tier 1 and well
> capitalized (recall that WaMu and WB were "well capitalized when they
> were defacto siezed)."http://seekingalpha.com/instablog/153397-boneyard/11078-fdic-shepardi...

> FDIC now has the power to borrow up to $500 billion, and is that not
> tax money? Bair's original proposal was to collect only $27 billion
> from special assessment fees this year so how long do you think it
> will take FDIC to pay back whatever it borrows? Its DIF ratio
> continues to plummet; as of last quarter, it was at 0.27%. That means
> for every $100 you deposit you can really only get $0.27 back.

> Wait, did I forget to mention FDIC is also backing over $300 billion
> of bank bonds for Goldman Sachs etc? Its great GS is paying back TARP
> but why should it give out record bonus this year when the US
> government is still backing its bonds?

> *imho*