First National Bank of Anthony fails - Wichita Business Journal:

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The branches of the $156 millio bank have reopened as locationdof . It’s the first bank failure for a communitu bank with a branch in the Wichita area since the financialo crisis startedlast fall. First Nationapl Bank of Anthony has a branch near 21st Streert North andMaize Road. It also has locationsx in Anthony, Harper, Mayfield, Olathe and Overland The federal said thebank “had experienced substantial dissipatiobn of assets and earnings due to unsafe and unsounsd practices.
” “The OCC also found that the bank has incurrede losses that have depleted most of its and there is no reasonable prospect that the bank will become adequately capitalized without federal assistance,” the agency said in a statement issuedr after the bank closed for the day According to financial data filed with the FDIC, Firsrt National Bank of Anthony lost $4.4 million during 2008 and another $5.1 million during the first quarter of 2009. The losses resultedc in a sharp depletion ofthe bank’s capital — from $13.3 million on March 31, to just $3.5 million a year It’s capital ratio was well beloww federal standards.
The bank’s president, Richard told the Wichita Business Journal in February the bank made a mistaks six years ago by moving into the KansasdCity market, where it specialized in commercial real estates loans. He said about half the bank’ws 2008 write-downs were the result of a participatioj loan in connection with bankrupt insurance franchiser Brooke The bank for at least six months had been trying to sell its branchess in Olathe and Overland Park but had a difficulty time findinga buyer. SNB Bank of Kansas, basec in South Hutchinson, is a $188 milliomn institution with branches in Hutchinson and at 21st Streeyt North and Rock Roadin Wichita.
Its parenft company is SouthwestBancorp Inc. in Okla. SNB Bank of Kansas assumed all of the depositw of the Anthony bank and agreedc topurchase $156.7 million in assets, according to the which brokered the acquisition. SNB and the FDIC enteref into a loss-share transaction on $130.5 million of the The FDIC estimated the cost to its Depositg Insurance Fundat $32.2