California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

This past week, Federal regulators seized four banks in California bringing
the total to 10 banks that have failed in 2010 in the Golden State and  118
banks have failed in the nation so far this year Of which failed banks based
in California comprise 8.4 percent.   In 2009, 140 banks failed of which 11.4
percent were from California. And in 2008, with only 25 bank failures,
California comprised 25 percent.

A sad commentary is that since the first of the year 118 banks have failed. 
This is an average of 14.5 banks per month.  At the current rate, failures
will far exceed last year’s number of a 140.

California Banks Closed in 2010
Sonoma Valley Bank, Sonoma
Butte Community Bank, Chico
Pacific State Bank Stockton
Los Padres Bank, Solvang
Granite Community Bank, Granite Bay
1st Pacific Bank, Los Angeles
Tamalpais Bank, San Rafael
Innovative, Oakland
La Jolla Bank, La Jolla/San Diego
First Regional Bank, Los Angeles

Although there have been numerous banks seized in California, there other states
that have higher failure rates including Illinois, Florida and Georgia and they are
followed closely by Washington and Minnesota.

I am Tim Johnson and this has been the California Business Minute.

For further information see: http://www.fdic.gov/bank/historical/bank/index.html