AP-2 more small Georgia banks fail; makes 30 closed in '11

AP-2 small Georgia banks fail; makes 30 closed in ’11

WASHINGTON

Regulators have shut down two small banks in Georgia, boosting the number of U.S. bank failures this year to 30. There were 157 bank closures in 2010 amid the shattered economy and piles of bad loans.

The Federal Deposit Insurance Corp. seized Bartow County Bank of Cartersville, with $330.2 million in assets, and New Horizons Bank in East Ellijay, with $110.7 million in assets. Hamilton State Bank, based in Hoschton, Ga., agreed to assume the assets and deposits of Bartow County Bank. Citizens South Bank, based in Gastonia, N.C., is assuming the assets and deposits of New Horizons Bank.

The failures of Bartow County Bank and New Horizons Bank are expected to cost the deposit insurance fund $69.5 million and $30.9 million, respectively.

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