Expected losses from the failure of a small Wisconsin bank are projected to amount to nearly a third of its total assets.
Friday’s lone bank failure was Bank of Wausau, which was seized and closed down by the Wisconsin Department of Financial Institutions.
Government data indicate that the Wausau, Wis., bank was established in May 1999. As of March 31 of this year, the total staff stood at just 13 employees.
Total deposits were nearly $41 million. The $44 million in total assets included $13 million in one-to-four-family residential loans, $11 million in commercial real estate loans and $1 million in construction-and-land-development loans.
The state handed over the failed bank to the Federal Deposit Insurance Corp. as receiver, and Nicolet National Bank assumed all of the deposits and acquired $30 million of the assets from the FDIC.
An FDIC cease-and-desist order was issued against the failed bank in November 2010.
The FDIC estimated that its Deposit Insurance Fund will be depleted by $14 million as a result of Bank of Wausau’s demise.
The bank closing represents the 18th FDIC-insured bank failure so far during 2013 and the 39th mortgage-related business to close or fail this year based on data tracked by Mortgage Daily.
