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Pacific West Takes Over Los Padres Bank
Pacific Western Bank, a subsidiary of PacWest Bancorp, has acquired Solvang-based Los Padres Bank from the Federal Deposit Insurance Corporation.
Under the terms of the deal, Pacific Western will enter into a loss sharing agreement with the FDIC covering future losses incurred on loans and foreclosed loan collateral. The FDIC will absorb 80 per cent of losses and share in 80 per cent of loss recoveries.
Los Padres Bank recorded $870 million in assets, $534 million in loans, and $771 million in deposits at end-June 2010. The bank operates 11 branches in California and three in Arizona. Included in the acquisition is its subsidiary, Harrington Wealth Management, in Fishers, Indiana, which provides trust and investment management services to individuals and institutional clients.
Upon the deal's completion, Pacific Western's network expands to
82 branches, with 79 in California. Los Padres' branches in
California and Arizona will reopen on 23 August as branches of
Pacific Western.
