THE BASIS POINT

Nine Failed Banks In 2009, Only One Isn’t Acquired

As of February 6, 2009, nine banks failed for the year versus 25 that failed for all of 2008. If it continued at that pace, more than 100 banks could fail this year. Of the nine that have failed, only one wasn’t acquired. FDIC head Sheila Bair can be credited for this strategy where the failing banks are immediately acquired and therefore conserve the FDIC’s reserve fund.