Regulators shutter 7 more banks

WASHINGTON — Regulators on Friday shut down two big California banks, as well as banks in Alabama, Florida, Georgia, Michigan and Illinois, bringing to 140 the number of U.S. banks brought down this year by the weak economy and mounting loan defaults.

The Federal Deposit Insurance Corp. took over all seven.

Regulators shuttered First Federal Bank of California, based in Santa Monica, with $6.1 billion in assets and $4.5 billion in deposits, and Imperial Capital Bank of La Jolla, Calif., with about $4 billion in assets and $2.8 billion in deposits. First Federal and Imperial Capital bring to 17 the number of California banks to fail this year.

Also closing their doors Friday were Atlanta-based RockBridge Commercial Bank; New South Federal Savings Bank, based in Irondale, Ala.; Citizens State Bank of New Baltimore, Mich.; Peoples First Community Bank of Panama City, Fla.; and Independent Bankers' Bank, based in Springfield, Ill.

All 39 First Federal Bank branches will reopen today as branches of OneWest Bank of Pasadena, Calif.

All nine branches of Imperial Capital will reopen Monday as Los Angeles-based City National Bank branches.

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