With a transaction assisted by the Federal Deposit Insurance Corp., Great Southern Bank has expanded its reach farther north.
The subsidiary of Great Southern Bancorp Inc. agreed Friday to purchase the assets and assume the deposits and liabilities of Maple Grove, Minn.-based Inter Savings Bank. The company, which did business as InterBank, was
shut down by the Office of the Comptroller of the Currency. Prior to the transaction, Great Southern branches in Iowa were the farthest away from its Springfield headquarters.
The transaction includes:
- four branches;
- roughly $467 million in deposits;
- approximately $403 million in loans; and
- $11 million in other real estate owned.
The former InterBank branches - located in three counties in the Minneapolis-St. Paul area - opened with normal operating hours this morning as branches of Great Southern, according to a news release.
“We welcome InterBank customers and employees to Great Southern. Customers can be confident that their deposits are safe and readily accessible,” Great Southern President and CEO Joe Turner said in the release. "It’s business as usual."
The transaction includes a loss sharing agreement, through which the FDIC has agreed to cover 80 percent of the losses on the loans and other real estate owned.
The purchase of InterBank is Great Southern's second FDIC-assisted transaction in six months.
In October, Great Southern entered an agreement to purchase the assets and assume the deposits of Ellington-based Sun Security Bank.
In its
latest financial results report, Great Southern Bancorp Inc. (Nasdaq: GSBC) posted first-quarter earnings of $7.5 million, up from $5.9 million in the same quarter in 2011. Including its latest transaction, the company now operates 107 branches in Missouri, Arkansas, Iowa, Kansas, Nebraska and Minnesota.
As of 9:59 a.m., Great Southern shares were trading at $24.40, compared to a 52-week range of $15.01 to $25.18.[[In-content Ad]]
