October 21, 2011

Federal Reserve Board appoints Federal Deposit Insurance Corporation as receiver for Community Banks of Colorado

For immediate release

The Federal Reserve Board on Friday appointed the Federal Deposit Insurance Corporation (FDIC) as receiver for Community Banks of Colorado, of Greenwood Village, Colorado, a state-chartered bank and member of the Federal Reserve System. As of June 30, the bank had approximately $1.4 billion in assets.

The appointment was made after the Federal Reserve Board determined that the bank had been "critically undercapitalized" since July 29, and appointment of the FDIC as receiver was necessary to carry out the purpose of the Prompt Corrective Action statute to reduce long-term loss to the FDIC's deposit insurance fund.

The Prompt Corrective Action statute required the Federal Reserve, as the bank's federal supervisor, to appoint the FDIC as receiver not later than 90 days after the bank became critically undercapitalized, or to take other supervisory action, with the FDIC's concurrence, that would cause the least possible long-term loss to the deposit insurance fund. Pursuant to statute, the Federal Reserve also consulted with the Colorado State Banking Commissioner.

Customers with questions can call the FDIC at 800-405-1439. The phone number will be operational this evening until 9 p.m., MDT; on Saturday from 9 a.m. to 6 p.m., MDT; on Sunday from noon to 6 p.m., MDT; and thereafter from 8 a.m. to 8 p.m., MDT. Customers can also go to www.fdic.gov/bank/individual/failed/commbanksco.html for more information.

For media inquiries, call 202-452-2955.

Last Update: October 21, 2011