Closed Friday, August 23, 2013 · Parsons, Decatur County, Tennessee
Community South Bank
Community South Bank's assets grew 130% in the three years to the fourth quarter of 2008, then shrank 46% before it closed. It was the third-largest of the 24 bank failures in 2013. It reported a net loss in five of its final nine reporting years.
On the books, 2005 to 2013
Total assets peaked at $715 million. Equity capital went from 11% of assets in the third quarter of 2005 to 1.3% at the last report. By then 16% of its loans were 90 days or more past due or no longer accruing interest. The deepest annual loss, $35.6 million, was booked in 2010.* 2013: January to June only, the last report before closing.
Size against the other 2013 failures
Total assets of each 2013 failure, log scale; Community South Bank in red.
Within Tennessee it ranks fifth by size of the 70 failures recorded since 1934. Across the failures of 2013, the median estimated loss came to 24% of assets. Ranked by estimated loss, it is 282nd of 2,944 failures since 1934. In the size ranking of that year, just above it was Mountain National Bank of Sevierville, Tennessee ($437 million, loss 7.6% of assets); just below, Douglas County Bank of Douglasville, Georgia ($317 million, loss 28% of assets). Every 2013 failure in the explorer.
The only other bank closed that day was Sunrise Bank of Arizona of Phoenix, Arizona.
Failures in Tennessee
It was one of two banks in Tennessee to fail in 2013. The previous failure there was Mountain National Bank of Sevierville, on June 7, 2013. The next was Trust Company Bank of Memphis, on April 29, 2016. No other failed bank in the FDIC's records was based in Decatur County.