Results of Stress tests - who sailed through and who needs more capital

The results of the SCAP were out on 7th May 2009 and the 19 Bank Holding Companies will require an additional 74.6 billion dollars to make the financial system sail through without collapse if the economic situation worsens.
Here's the summary of results:

Bank	Additional capital needed (billion dollars)
AmEx	0
BofA	33.9
BB&T	0
BNYM	0
CapOne	0
Citi	5.5
FifthThird	1.1
GMAC	11.5
Goldman Sachs	0
JPMC	0
KeyCorp	1.8
MetLife	0
Morgan Stanley	1.8
PNC	0.6
Regions	2.5
State Street	0
SunTrust	2.2
US Bancorp	0
Wells Fargo	13.7
Total	74.6

Small banks continue to fail in US

Three banks have been reported to fail in the first day of May taking the total number of bank failure in this year 2009 to 32 in just 4 months and 5 days. The banks to fail this month were:
1. America West Bank, Layton

2. Citizens Community Bank, Ridgewood
3. Silverton Bank, N.A., Atlanta

The news was updated on FDIC's website on 5th May. The biggest of the three is Silverton with about 4 billion assets. The bank, on its website, has put up the following notice:

"Silverton Bank, N.A. is participating in the FDIC's Transaction Account Guarantee Program. Under that program, all noninterest-bearing transaction accounts are fully guaranteed by the FDIC for the entire amount in the account through December 31, 2009. Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage available under the FDIC's general deposit insurance rules. Accounts that sweep into overnight Fed Funds are not considered non-interest bearing; therefore, they will not be covered under the FDIC’s Transaction Account Guarantee Program."

FDIC has created a bridge bank, Silverton Bridge Bank, to take over the operations of Silverton Bank. The bank will start its regular business from July 29, 2009.
The depositors will have the first priority followed by creditors and shareholders.

Details on the deposit insurance and other bank failure related information can be assessed from FDIC's website.

52 Banks in America failed in last one year

According to the data by FDIC(Federal Deposit Insurance Corporation) 52 banks have failed in the last one year, one failure per week on an average. This, once again, highlights the gravity of the crisis, and its impact on the financial institutions across the United States.

Month	No. of banks failure
Apr-09	8
Mar-09	5
Feb-09	10
Jan-09	6
Dec-08	3
Nov-08	5
Oct-08	4
Sep-08	3
Aug-08	3
Jul-08	3
May-08	2
Total since May 2008	52

These banks combined had an asset size of 388 billion USD. The failure had cost about 2 billion dollars to the FDIC Deposit Insurance Fund.

Washington Mutual was the biggest of them all with 307 billion dollar assets in its balance sheet. Before the failure it was the sixth largest bank in US. The panic started in Washington Mutual when about 16 billion dollars were withdrawn from the bank during 10 day bank-run. This was about 9% of the size of the total deposits in the bank. However, the pain was avoided by the sale of the bank to JP Morgan Chase (JPMC). This failure was the largest in the history of America.

The second biggest bank to fail during the year was IndyMac Bank with 32 billion dollars of assets. This was the fourth largest bank failure in American history. The failure cost FDIC about 9 billion USD.

About FDIC
"The Federal Deposit Insurance Corporation (FDIC) preserves and promotes public confidence in the U.S. financial system by insuring deposits in banks and thrift institutions for at least $250,000; by identifying, monitoring and addressing risks to the deposit insurance funds; and by limiting the effect on the economy and the financial system when a bank or thrift institution fails."