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To: patron_anejo_por_favor who wrote (143533)	8/29/2008 5:27:50 PM
From: RockyBalboa	Respond to of 306849

the cost to its Deposit Insurance Fund will be between $250 million and $350 million. Regions Bank Acquires All the Deposits of Integrity Bank, Alpharetta, Georgia FOR IMMEDIATE RELEASE August 29, 2008 Media Contact: David Barr (202) 898-6992 Cell: 703-622-4790 dbarr@fdic.gov Integrity Bank, Alpharetta, Georgia, with $1.1 billion in total assets and $974.0 million in total deposits as of June 30, 2008, was closed today by the Georgia Department of Banking and Finance, and the Federal Deposit Insurance Corporation was named receiver. The FDIC Board of Directors today approved the assumption of all the deposits of Integrity Bank by Regions Bank, Birmingham, Alabama. All depositors of Integrity Bank, including those with deposits in excess of the FDIC's insurance limits, will automatically become depositors of Regions Bank for the full amount of their deposits, and they will continue to have uninterrupted access to their deposits. Depositors will continue to be insured with Regions Bank so there is no need for customers to change their banking relationship to retain their deposit insurance. The failed bank's five offices will reopen Tuesday, September 2nd, as branches of Regions Bank. However, for the time being, customers of both banks should use their existing branches until Regions Bank can fully integrate the deposit records of Integrity Bank. Regions Bank has agreed to pay a total premium of 1.012 percent for the failed bank's deposits. In addition, Regions Bank will purchase approximately $34.4 million of Integrity Bank's assets, consisting of cash and cash equivalents. The FDIC will retain the remaining assets for later disposition. Customers with questions about today's transaction or who would like more information about the failure of Integrity Bank can visit the FDIC's Web site at fdic.gov, or call the FDIC toll-free at 1-800-523-0640, today from 5 p.m. until 9 p.m., Eastern Time, on Saturday from 9 a.m. to 6 p.m., on Sunday from 11 a.m. to 5 p.m., and thereafter from 8 a.m. to 8 p.m. The FDIC estimates that the cost to its Deposit Insurance Fund will be between $250 million and $350 million. Regions Bank's acquisition of all deposits was the "least costly" resolution for the FDIC's Deposit Insurance Fund compared to all alternatives because the expected losses to uninsured depositors were fully covered by the premium paid for the failed bank's franchise. Integrity Bank is the tenth FDIC-insured bank to fail this year, and the first in Georgia since NetBank in Alpharetta on September 28, 2007. # # # Georgia Banking Department Media Contacts Robert Braswell, Commissioner (770) 986-1633 robertb@dbf.state.ga.us George Reynolds, Senior Deputy Commissioner (770) 986-1633 reynolds@dbf.state.ga.us Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's banking system. The FDIC insures deposits at the nation's 8,451 banks and savings associations and it promotes the safety and soundness of these institutions by identifying, monitoring and addressing risks to which they are exposed. The FDIC receives no federal tax dollars – insured financial institutions fund its operations. FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically (go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information Center (877-275-3342 or 703-562-2200). PR-74-2008 Information for Integrity Bank, Alpharetta, GA >> deposit accounts have been transferred to Regions Bank, Birmingham, AL ("assuming institution") 1. Introduction 2. Press Release 3. Acquiring Financial Institution 4. Question and Answer Sheet 5. Banking Services 6. Loan Customers 7. Possible Claims Against the Failed Institution 8. Priority of Claims 9. Dividend Information 10. Brokered Deposits I. Introduction On August 29, 2008, Integrity Bank, Alpharetta, GA was closed by the Georgia Department of Banking and Finance and the Federal Deposit Insurance Corporation (FDIC) was named Receiver. No advance notice is given to the public when a financial institution is closed. The FDIC has assembled useful information regarding your relationship with this institution. Besides a checking account, you may have Certificates of Deposit, a car loan, a business checking account, a commercial loan, a Social Security direct deposit, and other relationships with the institution. The FDIC has compiled the following information which should answer many of your questions. Back to top II. Press Release The FDIC has issued a press release (PR-74-2008) about the institution's closure. If you represent a media outlet and would like information about the closure, please contact David Barr (dbarr@fdic.gov) at 202-898-6992 or 703-622-4790. Back to top III. Acquiring Financial Institution All deposit accounts have been transferred to Regions Bank, Birmingham, AL ("assuming institution") and will be available as usual. Your bank will re-open on Tuesday during regular business hours at the former Integrity Bank main office and branch locations. Your transferred deposits will be separately insured from any accounts you may already have at Regions Bank for six months after the failure of Integrity Bank. Checks that were drawn on Integrity Bank that did not clear before the institution closed will be honored as long as there are sufficient funds in the account. You may speak to an FDIC representative regarding deposit insurance by calling: 1-800-523-0640 or visit EDIE the FDIC's Electronic Deposit Insurance Estimator. EDIE - FDIC's Electronic Deposit Insurance Estimator You may withdraw your funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with Regions Bank as long as the deposits are not pledged as collateral for loans. You may view more information about Regions Bank by visiting their web site. Regions Bank (www.regions.com) Back to top V. Banking Services The Automated Teller Machines (ATM) and online services will remain available. As of September 2, 2008 you may continue to use the services to which you previously had access, such as, safe deposit boxes, night deposit boxes, wire services, etc. Your checks will be processed as usual. All outstanding checks will be paid against your available insured balance(s) as if no change had occurred. Regions Bank will contact you soon regarding any changes in the terms of your account. If you have a problem with a merchant refusing to accept your check, please contact Regions Bank, Customer Service Department, at 1-800-523-1958. An account representative will clear up any confusion about the validity of your checks. All interest accrued through Friday, will be paid at your same rate. Regions Bank will be reviewing rates and will provide further information soon. You will be notified of any changes. Your automatic direct deposit(s) and/or automatic withdrawal(s) will be transferred automatically to Regions Bank. If you have any questions or special requests, you may contact a representative of Regions Bank at 1-800-523-1958. Back to top VI. Loan Customers If you had a loan with Integrity Bank, you should continue to make your payments as usual. The terms of your loan will not change because they are contractually agreed to in your promissory note with the failed institution. Checks should be made payable as usual and sent to the same address until further notice. If you have further questions regarding an existing loan you may call 1-800-523-0604. For all questions regarding new loans and the lending policies of Regions Bank, please contact 1-800-523-1958 or visit the Regions Bank website at www.regions.com. Back to top VII. Possible Claims Against the Failed Institution Claims against failed financial institutions occur when bills sent to the institution remain unpaid at the time of failure. Shortly after the failure, the FDIC sends notices directly to all known service providers to explain the claim filing process. Please note: there are time limits for filing a claim, as specified in the notice. If you provided a service for Integrity Bank, and have not received a notice, please contact: Federal Deposit Insurance Corporation Receiver: Integrity Bank Attention: Claims Department, DRR 1601 Bryan Street Dallas, Texas 75201 Or: Call toll free 1-800-568-9161

To: patron_anejo_por_favor who wrote (143533)	8/29/2008 5:35:35 PM
From: RockyBalboa	Respond to of 306849

I found this on Integrity bank (Pink: ITYC) webpage: informz.net ICBA Debunks Deposit Insurance Myths Washington, D.C. (July 17, 2008)?The Independent Community Bankers of America (ICBA) is challenging unfounded concerns raised about the safety of bank deposits. Federal deposit insurance guarantees your deposits are safe in every financial institution insured by the Federal Deposit Insurance Corporation, including community banks. Don't believe the hype. Get the facts. Myth: Your money is safer in big banks. Fact: No one has ever lost a penny of FDIC-insured deposits held in community banks. The FDIC insures deposits up to $100,000 per depositor and $250,000 for certain retirement accounts. If you have more than $100,000 at a community bank, you can still be fully insured if your accounts meet certain requirements. For example, accounts owned by a single person are separately insured from joint accounts or retirement accounts owned by that person. The FDIC's Electronic Deposit Insurance Estimator can determine your coverage. Community banks focus on the needs of local families, businesses and farmers, and their top executives are generally available on site to answer your questions directly and make timely decisions. Many of the nation's largest banks are structured to serve large corporations and have CEOs headquartered in office suites, not local banks. Myth: Your money is stored in a vault at the bank. Fact: Community bank deposits are reinvested in your local economy. Your money on deposit will be used to make loans in the community that help your neighbors start a nearby business, purchase a home, or send a son or daughter to college. Continuing to hold deposits in community banks ensures the neighborhoods where you live and work will continue to grow and thrive. Myth: Community banks are undercapitalized. Fact: The vast majority of our nation's banks, especially community banks, are strong, safe and stable. Community bankers are common sense lenders that don't engage in high-risk activities. Instead, they stick to the longstanding fundamentals of responsible banking, and always seek to serve the long-term interests of their customers and communities.

To: patron_anejo_por_favor who wrote (143533)	8/29/2008 5:47:20 PM
From: Smiling Bob	Respond to of 306849

Just one? This is like the captain of the Valdez admitting he threw his Italian hoagie overboard

To: patron_anejo_por_favor who wrote (143533)	8/29/2008 5:57:34 PM
From: Jim McMannis	Respond to of 306849

One or two a week for a few years ought to do it.

To: patron_anejo_por_favor who wrote (143533)	8/29/2008 6:02:35 PM
From: ChanceIs	Read Replies (1) \| Respond to of 306849

Georgia Bank Bet Big on One Horse Now, Regulators Want to Know Why; The Capital Drain By LINGLING WEI August 29, 2008; Page C3 State and federal regulators are asking why Integrity Bancshares Inc., a Georgia community bank, lent almost all of its available capital to one real-estate developer. Integrity is one of dozens of small banks throughout the country struggling with rising defaults resulting from their unbridled lending during the heyday of the real-estate frenzy. As of the end of the second quarter, nearly 50% of Integrity's $668.4 million in construction loans was nonperforming, according to research firm Foresight Analytics LLC, up from only 7% in the year-earlier period. State and federal regulators have been pressing the bank to shore up its capital level since early this year. But so far, it has failed to attract investors. According to Integrity's latest filing with the Federal Deposit Insurance Corp., its Tier 1 capital dropped to about $35.5 million in the second quarter, down from $82.1 million a year ago; Tier 1 capital is a key indicator of a bank's ability to absorb losses. The deepening financial woes at Integrity comes as the FDIC earlier this week raised to 117 the number of banks it has identified as problematic, the largest number since mid-2003 and up from 90 at the end of the first quarter. While the agency didn't identify any of the banks on the list, many analysts have singled out Integrity as one of the most troubled local banks because it is rapidly running out of capital. "Raising capital in this environment is very challenging," said Chief Executive Pat Frawley, a former regulator who was brought in by Integrity's board in September to help save the bank. "But we continue to pursue every reasonable solution vigorously." Integrity, which is based in Alpharetta, Ga., and has five branches, is an extreme example of a community bank that got caught up in the real-estate boom. These small state-chartered banks are supposed to focus on serving local communities. But during the housing boom, many of them were muscled out of the business of lending to home buyers by large banks. Many turned to making loans -- ranging from $1 million to $10 million -- to finance office buildings, hotels, housing projects and other commercial real estate. Integrity has acknowledged that it made 14 loans for a total of $83 million to entities owned by the same guarantor; that amount represented almost all of the bank's available capital early last year. While Integrity didn't disclose the identity of this borrower, people familiar with the matter say it was Guy Mitchell, a Coral Gables, Fla.-based property investor. The money went to five shopping centers, a primary residence for Mr. Mitchell, and a condominium-conversion project. All of those loans are now in default. Mr. Frawley said the bank has been "trying diligently to collect as much as possible," but he declined to identify the borrower or discuss other specific customers. Georgia law limits to 25% of available capital the amount of credit secured by real estate that a bank can lend to one borrower. Regulators are trying to figure out whether Integrity might have violated state banking law, according to people familiar with the matter. A spokesman at the FDIC declined to comment. Rob Braswell, the commissioner of Georgia's Banking and Finance Department, also declined to comment. But he said that, in general, some banks have tried to get around the lending limit by making loans to seemingly different companies that are owned by the same borrower. The former CEO, Steven Skow, who was in charge when the loans to Mr. Mitchell were made, declined to comment. Mr. Skow, who launched Integrity about eight years ago, said in a news release in June 2007 that "the loan officer that initiated the relationship with the guarantor is no longer employed by the company." In August 2007, Integrity announced the termination of Mr. Skow's employment. Mr. Mitchell didn't return requests for comment. The developer currently is involved in a legal battle with another real-estate developer over the management of the Royal Palm hotel in Miami. Court documents allege that Mr. Mitchell transferred about $3.8 million from the hotel to his accounts in the Cook Islands. Mr. Mitchell recently admitted that he had converted some of the hotel funds to his personal account and returned them. "I apologize for that conduct, and acknowledge that I should not have made the transfers" of $1.3 million in hotel revenues, he wrote in a June 30 affidavit. His lawyer didn't return calls seeking comment. With the need to raise additional capital to stay afloat, Integrity has seen its options limited by the worst U.S. housing and credit markets in decades. "The new management has gained significant credibility with regulators," said Walt Moeling, a senior partner at law firm Powell Goldstein LLP. However, he said, "there are market conditions that go beyond the management's control."