US regulators close 3 small banks

Regulators on Friday shut down three small banks, pushing this year's tally of failed banks to 40.

One bank was in North Carolina, another in Georgia, and the third was in Kansas. The wave of bank failures is expected to continue throughout the year as the weak housing market and rising unemployment rate cause more borrowers to default on their loans.

The Federal Deposit Insurance Corp. was appointed receiver of Cooperative Bank of Wilmington, N.C., Southern Community Bank of Fayetteville, Ga., and First National Bank of Anthony in Anthony, Kan.

The FDIC agreed to have First Bank of Troy, N.C., take over Cooperative Bank's 24 branches and nearly all of its assets. Cooperative Bank had total assets of $970 million and total deposits of $774 million.

United Community Bank of Blairsville, Ga., will assume Southern Community bank's five branches, its $307 million in deposits, and nearly all of its $377 million in assets.

And Bank of Kansas of South Hutchinson, Kan., will acquire First National Bank of Anthony's six branches, its $142.5 million in deposits, and nearly all of its $156.9 million in assets.
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