by Calculated Risk on 9/26/2015 04:36:00 PM

This is an unofficial list of Problem Banks compiled only from public sources.

Here is the unofficial problem bank list for September 2015.

Changes and comments from surferdude808:

Update on the Unofficial Problem Bank List for September 2015. During the month, the list fell from 282 institutions to 276 after eight removals and two additions. Assets dropped by $683 million to an aggregate $82.0 billion. A year ago, the list held 432 institutions with assets of $136.8 billion.

Actions have been terminated against Virginia Community Bank, Louisa, VA ($215 million); US Metro Bank, Garden Grove, CA ($127 million); Freedom National Bank, Greenville, RI ($111 million); Amory Federal Savings and Loan Association, Amory, MS ($93 million Ticker: USMT); and Legacy Bank, Altoona, IA ($92 million).

Three banks found their way off the list by finding merger partners including Northwest Georgia Bank, Ringgold, GA ($286 million); The Patapsco Bank, Baltimore, MD ($219 million); and First Scottsdale Bank, National Association, Scottsdale, AZ ($96 million).

The additions this month were The National Capital Bank of Washington, Washington, DC ($420 million); and Anthem Bank & Trust, Plaquemine, LA ($136 million).

With it being the end of the third quarter, we bring an update on the transition matrix. Since the Unofficial Problem Bank List was first published on August 7, 2009 with 389 institutions, a total of 1,698 institutions have appeared on a weekly or monthly list at some point. There have been 1,422 institutions have come on and gone off the list. Departure methods include 785 action terminations, 393 failures, 230 mergers, and 14 voluntary liquidations. The third quarter of 2015 started with 309 institutions on the list, so the 25 action terminations during the quarter reduced the list by 8.1 percent. Of the 389 institutions on the first published list, 34 or 8.7 percent still remain six years later. The 393 failures are 23.1 percent of the 1,698 institutions that have appeared on the list. This failure rate is well above the 10-12 percent rate frequently cited in media reports on the failure rate of banks on the FDIC's official list.

Unofficial Problem Bank List
Change Summary
		Number of Institutions	Assets ($Thousands)
Start (8/7/2009)		389	276,313,429
Subtractions
	Action Terminated	157	(59,896,817)
	Unassisted Merger	39	(9,713,878)
	Voluntary Liquidation	4	(10,584,114)
	Failures	155	(184,358,339)
	Asset Change		(3,015,680)
Still on List at 9/30/2015		34	8,744,601
Additions after 8/7/2009		242	81,999,685
End (9/30/2015)		376	87,456,390
Intraperiod Deletions1
	Action Terminated	628	259,373,329
	Unassisted Merger	191	78,178,815
	Voluntary Liquidation	10	2,324,142
	Failures	238	119,574,853
	Total	1,067	459,451,139
1Institution not on 8/7/2009 or 9/30/2015 list but appeared on a weekly list.