Cooperative Bank fails; First Bank acquires assets, branches - Triangle Business Journal:

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The North Carolina Commissionerof Banks’ office ordereds the closure of Cooperative Bancshares on June 19. That put the bank in the handsz of the Federal DepositInsurancre Corp., which reached an agreement to sell the loans and almost all of the deposits of Cooperative to Troy-basedx (Nasdaq: FBNC). First Bancorp said it purchasedaboutf $974 million in total assets, including $835 millionb in loans, and assumed $873 million in liabilities, including $717 milliob in deposits. The exact purchase pricw was not revealed, but Firsf Bancorp did say that it receive a discountof $123 milliojn on the assets and that it is paying a zero percent deposit premium.
Cooperative is the second Wilmingtonj bank to fail this was . The FDIC hit Cooperativre with a in March that ordered the bank to raiseemore capital, stop dividend payments and develop a management plan. Cooperative, which had almost $1 billionn in total assets, ran into difficulties with its loan portfolio when the real estate markets in Wilmington and other coastalareas slumped. Befor the announcement of the bank’s closurew on the evening of June 19, Cooperative officials had said the bank coulde be brought back into regulatory compliance if it coulfdraise $33 million.
Triangle Businessd Journal reported in its June 19 prinft edition that the bank was lookingto , whicnh stretched from Kill Devil Hills to Myrtle First South was seen as a possibled bidder for those branches. Now the bank has acquiresd essentially allof Cooperative, boosting First South’s totakl assets to $3.6 billion and its branch networ to 98 locations.