Greater Atlantic Bank

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Greater Atlantic Bank
Private
IndustryFinancial services
Fateclosed by Office of Thrift Supervision; assets acquired by Sonabank
FoundedMay 27, 1887 (1887-05-27)
DefunctDecember 4, 2009 (2009-12-04)
Headquarters,
ServicesBanking
Websitewww.Gab.com at the Wayback Machine (archived March 2, 2000)

Greater Atlantic Bank (GAB) was a Reston, Virginia-based Community bank that provided Financial services and products.[1] The company was founded in May 1887 and was closed in December 2009. It was the first bank failure of the Great Recession and was the first bank failure in Virginia since 1993.[2]

As of October 20, 2009, the bank had $203 million in assets and $179 million in deposits, according to the Federal Deposit Insurance Corporation (FDIC).[3][4]

History[edit]

Greater Atlantic Bank was founded on May 27, 1887[5] as the Greater Baltimore Savings and Loan Association.[6]

In 1999, the company moved its headquarters to Reston, Virginia.[6]

On August 22, 2000, Greater Atlantic completed its acquisition of Dominion Savings Bank.[7]

On June 15, 2009, Greater Atlantic Financial Corp. agreed to purchase Greater Atlantic Bank,[8] however, the deal fell through four times due to both companies not being able to secure approvals and conditions in order to complete the purchase.[9]

On December 4, 2009, Greater Atlantic was closed by the Office of Thrift Supervision (OTS).[3][10]

Greater Atlantic's deposits were assumed by Sonabank and most of its assets were purchased by Sonabank.[2] On December 5, 2009, all five of Greater Atlantic's former locations were reopened as branches of Sonabank[5] and depositors of Greater Atlantic automatically became depositors of Sonabank.[2]

Sonabank entered into a loss-share agreement with the FDIC on $145 million of Greater Atlantic's assets.[11]

References[edit]

  1. ^ "Company Overview of Greater Atlantic Bank (Reston, VA)". Bloomberg. Retrieved 2019-02-10.
  2. ^ a b c Ruiz Switzky, Bryant (2009-12-04). "Office of Thrift Supervision closes Greater Atlantic Bank". American City Business Journals. Retrieved 2019-02-10.
  3. ^ a b Chang, Richard (2009-12-05). "U.S. regulators close Greater Atlantic Bank". Reuters. Retrieved 2019-02-10.
  4. ^ Alston & Bird LLP - Lindsay Young. "Sonabank assumes deposits of Greater Atlantic Bank | Lexology". Lexology. Retrieved 2019-02-10.
  5. ^ a b "Greater Atlantic Bank closed by FDIC. Accounts transferred to Sonabank. Depositors must reclaim FDIC-insured accounts". www.failedbankreporter.com. Retrieved 2019-02-10.
  6. ^ a b Appelbaum, Binyamin (2009-12-05). "Greater Atlantic Bank seized by regulators". ISSN 0190-8286. Retrieved 2019-02-10.
  7. ^ "Greater Atlantic Financial Corp. Completes Acquisition of Dominion Savings Bank". Greater Atlantic Bank. 2000-08-22. Archived from the original on 2002-11-07. Retrieved 2019-02-11.
  8. ^ Ruiz Switzky, Bryant (2009-06-17). "MidAtlantic Bancorp to buy Greater Atlantic Bank". American City Business Journals. Retrieved 2019-02-10.
  9. ^ Ruiz Switzky, Bryant (2009-11-30). "Greater Atlantic extends merger deadline to Dec. 10". American City Business Journals. Retrieved 2019-02-10.
  10. ^ "FDIC: Failed Bank Information - Bank Closing Information for Greater Atlantic Bank, Reston, VA". Federal Deposit Insurance Corporation. Retrieved 2019-02-10.
  11. ^ Yousuf, Hibah (2009-12-04). "Six banks fail, national tally reaches 130 - Dec. 4, 2009". CNN Money. Retrieved 2019-02-10.