3 S.J. bank branches taken over

STOCKTON -- Deposits in three San Joaquin County branches of Community Banks of Northern California were assumed over the weekend by Bank Midwest, based in Kansas City.

Those offices were among the 40 branches of Community Banks of Colorado taken over by the Federal Deposit Insurance Corp. on Friday and reopened Saturday as branches of Bank Midwest, National Association. The subsidiary Community Banks of Northern California operated one branch in Sacramento, one at 210 Towne Centre Drive in Lathrop and two Tracy offices, at 2140 W. Grant Line Road and 1003 Central Ave.

The FDIC said the offices will maintain regular business hours and services, including cash machines, online services, direct deposits and automated payments. All checks will be processed as usual. And all interest accrued through Friday will be paid at the usual rate.

Loan customers should continue to make payments as usual. Terms of the loans will not change.

As of June 30, Community Banks of Colorado had approximately $1.38 billion in total assets and $1.33 billion in total deposits. In addition to assuming all the deposits of the failed bank, Bank Midwest agreed to purchase essentially all its assets.

Officials estimate that the bank failure will cost the deposit insurance fund $224.9 million. Community Banks of Colorado is the 84th FDIC-insured institution to fail in the nation this year.

Bank Midwest is a subsidiary of Boston-based National Bank Holdings Corp.