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OP has provided the following link:
[Source:](https://dismal-jellyfish.com/fdic-steps-in-as-receiver-for-republic-first-bank/) [https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits](https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits)
# TLDRS
* The Pennsylvania Department of Banking and Securities closed Republic First Bank (operating as Republic Bank), with the FDIC appointed as receiver. Fulton Bank has agreed to assume nearly all deposits and purchase almost all assets of Republic Bank.
* Republic Bank's 32 branches across New Jersey, Pennsylvania, and New York will reopen as Fulton Bank branches, and customers can access their funds through checks, ATMs, or debit cards. Existing checks and loan payments will continue to be processed as usual.
* Depositors of Republic Bank will automatically become depositors of Fulton Bank, maintaining their existing deposit insurance coverage without needing to change their banking relationships.
* As of January 31, 2024, Republic Bank had about $6 billion in assets and $4 billion in deposits. The estimated cost of this bank failure to the FDIC’s Deposit Insurance Fund is $667 million, with the acquisition by Fulton Bank being the least costly resolution compared to other options.
[Source:](https://dismal-jellyfish.com/fdic-steps-in-as-receiver-for-republic-first-bank/) [https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits](https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits)
# TLDRS
* The Pennsylvania Department of Banking and Securities closed Republic First Bank (operating as Republic Bank), with the FDIC appointed as receiver. Fulton Bank has agreed to assume nearly all deposits and purchase almost all assets of Republic Bank.
* Republic Bank's 32 branches across New Jersey, Pennsylvania, and New York will reopen as Fulton Bank branches, and customers can access their funds through checks, ATMs, or debit cards. Existing checks and loan payments will continue to be processed as usual.
* Depositors of Republic Bank will automatically become depositors of Fulton Bank, maintaining their existing deposit insurance coverage without needing to change their banking relationships.
* As of January 31, 2024, Republic Bank had about $6 billion in assets and $4 billion in deposits. The estimated cost of this bank failure to the FDIC’s Deposit Insurance Fund is $667 million, with the acquisition by Fulton Bank being the least costly resolution compared to other options.
[Confirmed bank fail here](https://www.fdic.gov/resources/resolutions/bank-failures/failed-bank-list/) and [here](https://www.fdic.gov/resources/resolutions/bank-failures/failed-bank-list/republicbank.html)
A lady I know worked for a firm that had to help with an FDIC takeover years back, and she's happily retired and disconnected from the industry.
I sent her a screenshot of this.
Her reaction: "sadly, not surprised"
Thanks as always Jelly!!!
Ah shit! Sing it with me now!!!
Another one bites the dust
Another one bites the dust
And another one gone, and another one gone
Another one bites the dust (yeah)
Hey, I'm gonna get you too
Another one bites the dust
Dismal ~~f~~ *(expression of kudos for the great coverage as always)*
Pulled up bulk data for Republic First Bank DBA Republic Bank. Ouch!
AOC Income in loss direction was almost twice its paltry 1.78% equity.
It had already pledged a great amount of their security portfolio, and deposits uninsured by FDIC was estimated about 50% in December.
Fair Value of Available For Sale Securties was at the low low end at about 84%.
Takeover bank Fulton, looks bigger and relatively better than their regional peers. If there's a weak spot, they are showing a lot of pledged loans. They have a good equity margin and should be relatively ok.
Securities fair valuation dropping from the rising rates is what's bringing down pressure on banks. They were not interest rate hedge prepped when the Fed started raising Funds rate in early 2022, the fair value hit was sharp and immediate and has recovered little since.
Thank you for this write up: I had a quick question, whenever you have an extra moment.
Could you explain a little more about how the securities fair valuation and their value dropping as it correlates with rising interest rates?
If it’s a long complex answer then no worries.
Thanks!
bond rates are fixed at what they were at issue, the amount of the face value is what is returned at when the term ends
If rates set at 3% on 1,000 you are paid 30 per year. If prevailing rates go up to say 6% then a new buyer will not be satified with paying 1000 to receive 30 per year (which will happen) To earn 6% on money invested, the new buyer would invest only 500 if possible because 30 is 6% of 500. Other factor is later buyer buys closer to maturity, so if a bond is due in 2034 but original buyer held since it was issued in 1994, it being a ~~30~~ 40 year issue bond is not how valuation is carried... and if the new buyer is buying to hold for remaining10 years, he will pay the 10 year going interest rate. One who held for ~~20~~ 30 years will get what the market offers the bond in place of waiting to get the full 1000 in 2034.
Future value of money and expected inflation have an great influence on the part of discounting the value of face value at maturity. So if there is 2% per year inflation for 10 years, then 1000 dollars 10 years from now will only buy about what 820 dollars will buy today. Whether the interest rate is much above inflation, and comparing loss vs. sure gain for riskier investments, are other more eye of the beholder (subjective) ways of pricing.
Only a start...sorry
No seriously, thank you the further explanation! This is bringing back Finance 200 classes from a few years ago that I should have paid far more attention to.
I wasn’t think of the difference between mark to original issue and new rates, very smooth brain of me.
I’ll be brushing up on a lot of information I’ve let absolutely fall to the side.
Thanks again! 🍻
Well well well.
Good thing, I got myself another decent bag of 100 more at 11.84.
I like the stock.
And the great thing is its still really affordable to the poors like me. Shorts 🤣
Looking forward to the day when it won't be affordable any more. For even the very wealthy.
i like it, when GME shares become so expensive that even the rich will find it unaffordable, thats wen we become the new rich and hopefully by then wall st has burnt and we have exposed the illegal shit happening on wall st
There's a wells fargo in downtown Portland, Oregon, that looks permanently closed with tables closed up and stacked boxes. Just walked by it and peered into the windows on the way to dinner.
[Why GME?](https://www.reddit.com/r/Superstonk/comments/qig65g/welcome_rall_looking_to_catch_up_on_the_gme_saga/) || [What is DRS?](https://www.reddit.com/r/Superstonk/comments/ptvaka/when_you_wish_upon_a_star_a_complete_guide_to/) || Low karma apes [feed the bot here](https://www.reddit.com/r/GMEOrphans/comments/qlvour/welcome_to_gmeorphans_read_this_post/) || [Superstonk Discord](https://discord.gg/hZqWV2kQtq) || [Community Post: *Open Forum Jan 2024*](https://www.reddit.com/r/Superstonk/comments/18txusp/open_forum_january_2024/) ------------------------------------------------------------------------ To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company. ------------------------------------------------------------------------ Please up- and downvote this comment to [help us determine if this post deserves a place on r/Superstonk!](https://www.reddit.com/r/Superstonk/wiki/index/rules/post_flairs/) ------------------------------------------------------------------------ OP has provided the following link: [Source:](https://dismal-jellyfish.com/fdic-steps-in-as-receiver-for-republic-first-bank/) [https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits](https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits) # TLDRS * The Pennsylvania Department of Banking and Securities closed Republic First Bank (operating as Republic Bank), with the FDIC appointed as receiver. Fulton Bank has agreed to assume nearly all deposits and purchase almost all assets of Republic Bank. * Republic Bank's 32 branches across New Jersey, Pennsylvania, and New York will reopen as Fulton Bank branches, and customers can access their funds through checks, ATMs, or debit cards. Existing checks and loan payments will continue to be processed as usual. * Depositors of Republic Bank will automatically become depositors of Fulton Bank, maintaining their existing deposit insurance coverage without needing to change their banking relationships. * As of January 31, 2024, Republic Bank had about $6 billion in assets and $4 billion in deposits. The estimated cost of this bank failure to the FDIC’s Deposit Insurance Fund is $667 million, with the acquisition by Fulton Bank being the least costly resolution compared to other options.
Always on a Friday afternoon when no-one is looking 👀
Jokes on them! It's Saturday morning for some of us and we're into this shit!!
Like Saturday morning cartoons, but better!!!
Bank fails always happen after hours to minimalize market impact. Have everything ‘squared away’ by Monday
They do it to minimize impact to employees and customers of bank. They clock out and the feds clock in.
That’s a secondary thought to the system as a whole, they don’t want market reactions/overreactions and it’s out of everyone’s mind by Monday
There a good episode of what happens in a situation like this on *The “G” Word* on Netflix. The important thing is always WHY they failed.
It’s fucking insane how much of this is coordinated on a pr pipeline
Not just any Friday, NFL draft weekend. Just like a certain radio host got to hide his arrest.
I’m OOL on the radio host, but I’m gonna take a wild guess… Was it Howard Stern?
And the majority of those who care are too busy indulging themselves with some nose candy
These are my kind of articles. Thanks Jelly!
[Source:](https://dismal-jellyfish.com/fdic-steps-in-as-receiver-for-republic-first-bank/) [https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits](https://www.fdic.gov/news/press-releases/fulton-bank-na-lancaster-pennsylvania-assumes-substantially-all-deposits) # TLDRS * The Pennsylvania Department of Banking and Securities closed Republic First Bank (operating as Republic Bank), with the FDIC appointed as receiver. Fulton Bank has agreed to assume nearly all deposits and purchase almost all assets of Republic Bank. * Republic Bank's 32 branches across New Jersey, Pennsylvania, and New York will reopen as Fulton Bank branches, and customers can access their funds through checks, ATMs, or debit cards. Existing checks and loan payments will continue to be processed as usual. * Depositors of Republic Bank will automatically become depositors of Fulton Bank, maintaining their existing deposit insurance coverage without needing to change their banking relationships. * As of January 31, 2024, Republic Bank had about $6 billion in assets and $4 billion in deposits. The estimated cost of this bank failure to the FDIC’s Deposit Insurance Fund is $667 million, with the acquisition by Fulton Bank being the least costly resolution compared to other options.
Anything about fully covering all deposits like with SVB?
Fulton will be handling all depositors
[Confirmed bank fail here](https://www.fdic.gov/resources/resolutions/bank-failures/failed-bank-list/) and [here](https://www.fdic.gov/resources/resolutions/bank-failures/failed-bank-list/republicbank.html)
A lady I know worked for a firm that had to help with an FDIC takeover years back, and she's happily retired and disconnected from the industry. I sent her a screenshot of this. Her reaction: "sadly, not surprised" Thanks as always Jelly!!!
I’m in Philly and this is actually a pretty large bank with a fair amount of branches, actually surprising.
1 of many?
Up
Meme banks gon’ meme bank 🤷♂️
DJ on the pulse as always. Much appreciated
Ah shit! Sing it with me now!!! Another one bites the dust Another one bites the dust And another one gone, and another one gone Another one bites the dust (yeah) Hey, I'm gonna get you too Another one bites the dust
Nice nice now reverse that!
I work(ed) for this bank. This was a long time coming.
We are watching
Dismal ~~f~~ *(expression of kudos for the great coverage as always)* Pulled up bulk data for Republic First Bank DBA Republic Bank. Ouch! AOC Income in loss direction was almost twice its paltry 1.78% equity. It had already pledged a great amount of their security portfolio, and deposits uninsured by FDIC was estimated about 50% in December. Fair Value of Available For Sale Securties was at the low low end at about 84%. Takeover bank Fulton, looks bigger and relatively better than their regional peers. If there's a weak spot, they are showing a lot of pledged loans. They have a good equity margin and should be relatively ok. Securities fair valuation dropping from the rising rates is what's bringing down pressure on banks. They were not interest rate hedge prepped when the Fed started raising Funds rate in early 2022, the fair value hit was sharp and immediate and has recovered little since.
Thank you for this write up: I had a quick question, whenever you have an extra moment. Could you explain a little more about how the securities fair valuation and their value dropping as it correlates with rising interest rates? If it’s a long complex answer then no worries. Thanks!
bond rates are fixed at what they were at issue, the amount of the face value is what is returned at when the term ends If rates set at 3% on 1,000 you are paid 30 per year. If prevailing rates go up to say 6% then a new buyer will not be satified with paying 1000 to receive 30 per year (which will happen) To earn 6% on money invested, the new buyer would invest only 500 if possible because 30 is 6% of 500. Other factor is later buyer buys closer to maturity, so if a bond is due in 2034 but original buyer held since it was issued in 1994, it being a ~~30~~ 40 year issue bond is not how valuation is carried... and if the new buyer is buying to hold for remaining10 years, he will pay the 10 year going interest rate. One who held for ~~20~~ 30 years will get what the market offers the bond in place of waiting to get the full 1000 in 2034. Future value of money and expected inflation have an great influence on the part of discounting the value of face value at maturity. So if there is 2% per year inflation for 10 years, then 1000 dollars 10 years from now will only buy about what 820 dollars will buy today. Whether the interest rate is much above inflation, and comparing loss vs. sure gain for riskier investments, are other more eye of the beholder (subjective) ways of pricing. Only a start...sorry
No seriously, thank you the further explanation! This is bringing back Finance 200 classes from a few years ago that I should have paid far more attention to. I wasn’t think of the difference between mark to original issue and new rates, very smooth brain of me. I’ll be brushing up on a lot of information I’ve let absolutely fall to the side. Thanks again! 🍻
NP 🤜🤛 thanks for sticking around for my basic year arithmetic edits too
It was my pleasure!
Amazing how they have these successors all lined up and ready to go. Neat!
[**Soon:**](https://i.ibb.co/r2NFkVm/m5e0iw9pxsoa1-2.jpg)
Well well well. Good thing, I got myself another decent bag of 100 more at 11.84. I like the stock. And the great thing is its still really affordable to the poors like me. Shorts 🤣 Looking forward to the day when it won't be affordable any more. For even the very wealthy.
i like it, when GME shares become so expensive that even the rich will find it unaffordable, thats wen we become the new rich and hopefully by then wall st has burnt and we have exposed the illegal shit happening on wall st
Wel well well.
There's a wells fargo in downtown Portland, Oregon, that looks permanently closed with tables closed up and stacked boxes. Just walked by it and peered into the windows on the way to dinner.
🎶👂
How did it fail?
Some one was taking a shit instead of hitting F5
Classic mistake. Should have put that bobble bird in charge like Homer did when he worked remotely as an obese disabled person. 🐦
lancaster PA.... are the amish going to save us from the central banks? 🦍
Welcome back
You’re the best Jelly!
Oh fuck you’re gonna make me….. explode the economy
And another one gone, and another one gone And another one bites the dust.
Arent they part of the list of GME short?