Supervisors Symposium - December 2023

Internal Use Only

Hypothetical Bid List for a $200MM bank in Illinois

Prospective Bidder Criteria

Prospective Banks’ Asset Threshold $400 Million

Number of Qualified Bidders

Insured Deposit Institutions (IDIs) in Illinois IDIs in Contiguous States (Iowa, Indiana, Kentucky, Michigan, Missouri, Wisconsin) IDIs with a Preference for Illinois IDIs Nationwide with Assets Greater than $1.5 Billion

59

$800 Million

64

$800 Million

59

$1.5 Billion

205

Supplemental Bidders

NA

3

Total Bidders

390

15

15

Internal Use Only

Available Transactions

Bidding Transactions Whole Bank Purchase & Assumption (P&A) Basic P&A with Loan Pools

Characteristics:

Substantially all of the assets and liabilities of the failed bank are transferred to the Assuming Institution. Loss Share may be offered. Similar to Whole Bank, but bidders can bid on different pools of loans. Deposits and liquid assets are transferred to the Assuming Institution. Most assets stay in the Receivership. Assets and liabilities are transferred from a Receivership to a newly chartered bridge institution. FDIC charters a temporary bank to pay off insured depositors. Assets remain in the Receivership and are liquidated. FDIC pays off insured depositors via checks. Assets are liquidated. Expected to be the most costly resolution method. FDIC is required to choose the least costly resolution to the Deposit Insurance Fund (unless the systemic risk exception is invoked) Characteristics:

BasicP&A

Other Transactions

Bridge Bank

Deposit Insurance National Bank

Payout

16

16