Guaranty Bank, Austin, TX was closed Friday, 21 August 2009 by the Office of Thrift Supervision, which appointed the FDIC as receiver. BBVA Compass, Birmingham, Alabama, to assume all of the deposits of Guaranty Bank, excluding those from brokers.

Guaranty Bank had 103 branches in Texas and 59 branches in California.

Guaranty Bank had total assets of approximately $13 billion and total deposits of approximately $12 billion. In addition to assuming all of the deposits of the failed bank, BBVA Compass agreed to purchase $12 billion of the failed bank's assets. The FDIC will retain the remaining assets for later disposition.

The FDIC and BBVA Compass entered into a loss-share transaction on approximately $11 billion of Guaranty Bank's assets. BBVA Compass will purchase all deposits, except about $344 million in brokered deposits, held by Guaranty Bank.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $3 billion.

Guaranty Bank is the 81st FDIC-insured bank failure in the nation this year, and the second in Texas.

Cert # 32618

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