Central Florida State Bank, Belleview, FL

Central Florida State Bank, Belleview, FL, has the dubious distinction of being the first bank in the nation to fail in 2012. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $24.4 million.

Central Florida State Bank, Belleview, Florida, was closed today by the Florida Office of Financial Regulation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with CenterState Bank of Florida, National Association, Winter Haven, Florida, to assume all of the deposits of Central Florida State Bank.

The four branches of Central Florida State Bank will reopen on Monday as branches of CenterState Bank of Florida, National Association. Depositors of Central Florida State Bank will automatically become depositors of CenterState Bank of Florida, National Association. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship in order to retain their deposit insurance coverage up to applicable limits. Customers of Central Florida State Bank should continue to use their existing branch until they receive notice from CenterState Bank of Florida, National Association that it has completed systems changes to allow other CenterState Bank of Florida, National Association branches to process their accounts as well.

This evening and over the weekend, depositors of Central Florida State Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.

As of September 30, 2011, Central Florida State Bank had approximately $79.1 million in total assets and $77.7 million in total deposits. In addition to assuming all of the deposits of the failed bank, CenterState Bank of Florida, National Association agreed to purchase essentially all of the assets.

The FDIC and CenterState Bank of Florida, National Association entered into a loss-share transaction on $53.6 million of Central Florida State Bank’s assets. CenterState Bank of Florida, National Association will share in the losses on the asset pools covered under the loss-share agreement. The loss-share transaction is projected to maximize returns on the assets covered by keeping them in the private sector. The transaction also is expected to minimize disruptions for loan customers. For more information on loss share, please visit: http://www.fdic.gov/bank/individual/failed/lossshare/index.html.

Customers with questions about today’s transaction should call the FDIC toll-free at 1-800-405-8028. The phone number will be operational this evening until 9:00 p.m., Eastern Standard Time (EST); on Saturday from 9:00 a.m. to 6:00 p.m., EST; on Sunday from noon to 6:00 p.m., EST; on Monday from 8 a.m. to 8 p.m., EST; and thereafter from 9:00 a.m. to 5:00 p.m., EST. Interested parties also can visit the FDIC’s Web site at http://www.fdic.gov/bank/individual/failed/cfsb.html.

If you should have any further questions please do not hesitate to visit the FDIC webpage for Central Florida State Bank.