Got FDIC?

Interesting times, indeed. It appears the Deposit Insurance Fund may be overdrawn, with a spate of recent bank failures. In fact, this recent set includes a bank we used to use for our business, Community Bank, as reported by Rolfe Winkler at his blog at Reuters. What's this mean? It's looking like another bail-out, based on estimates of the costs required to support these bank failings.

At 3/31/09, the DIF had $41.5 billion worth of reserves to handle bank failures, a total that included $28.5 billion of reserves for future failures along with the $13.0 billion balance remaining in the fund after subtracting liabilities from assets.

At the end of Q2, FDIC charged banks a special assessment that they estimated would raise an additional $5.6 billion.

Since the end of Q1, there have been 51 bank failures, which in total the FDIC estimates will cost the DIF $16.1 billion. This includes the bank failures above.

Isn't that about negative $3 billion? Wow, I'd hate to see the overdraft fees for that one!

In unrelated news, we've recently had flights of the F-22 Raptor overhead, apparently coming out of the Colorado Springs area. Must be training for something.