FDIC: Press Releases on Harris’ takeover of AMCORE BANK 4/23/2010

As of December 31, 2009, Amcore Bank, National Association had approximately $3.8 billion in total assets and $3.4 billion in total deposits. Harris National Association will pay the FDIC a premium of 0.01 percent to assume all of the deposits of Amcore Bank, National Association. In addition to assuming all of the deposits of the failed bank, Harris National Association agreed to purchase essentially all of the assets.

The FDIC and Harris National Association entered into a loss-share transaction on $2.0 billion of Amcore Bank, National Association's assets. Harris National Association will share in the losses on the asset pools covered under the loss-share agreement. The loss-share transaction is projected to maximize returns on the assets covered by keeping them in the private sector. The transaction also is expected to minimize disruptions for loan customers….

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $220.3 million. Harris National Association's acquisition of all the deposits was the "least costly" resolution for the FDIC's DIF compared to all alternatives.

Click on the following for more details:  FDIC: Press Releases - PR-84-2010 4/23/2010