A small bank in rural northwest Georgia was closed by regulators Thursday, making it the 23rd failure in the state so far this year.
Community Bank of Rockmart was seized by state regulators and sold to Cartersville-based Century Bank of Georgia, according to the Federal Deposit Insurance Corp.
The FDIC said Community Bank’s sole branch will open under its new flag for the first time Saturday, as Friday, Veterans Day, is a bank holiday. Rockmart is about 50 miles northwest of Atlanta in Polk County.
Community Bank had $62.4 million in assets and $55.9 million in deposits. Century Bank assumed all the failed bank’s deposits and the bulk of its assets under a loss-share agreement with the FDIC.
The regulator said the failure will result in a $14.5 million loss to its deposit insurance fund, the backstop that protects customer deposits.
Georgia leads the nation with 74 failures since mid-2008.
Community Bank was founded in 2005, and much of its loan portfolio was in commercial real estate. At the end of the second quarter, 28.5 percent of its assets were in some form of delinquency, default or foreclosure, according to an analysis by FIG Partners in Atlanta.
The bank lost more than $4 million from mid-2009 through June 30 of this year, according to FDIC data.
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