Closed Wednesday, January 31, 1990 · Phoenix, Maricopa County, Arizona
Merabank, A Federal Savings Bank
By total assets Merabank, A Federal Savings Bank is the 30th-largest of the 3,375 bank failures since 1934 for which the FDIC records a size, counted in dollars of the day. No failed bank in Arizona was larger, of 44 on record there since 1934. Equity capital was below zero at its last report.
On the books, 1984 to 1989
Total assets peaked at $7.2 billion in the third quarter of 1988 and were 12% lower at the final report. Equity capital had covered 4.8% of assets in the first quarter of 1984. By then 12% of its loans were 90 days or more past due or no longer accruing interest. It reported a net loss in three of its final six reporting years. The deepest annual loss, $451 million, was booked in 1989.
Size against the other 1990 failures
Total assets of each 1990 failure, log scale; Merabank, A Federal Savings Bank in red.
By assets it ranked fifth of the 381 failures in 1990. Ranked by estimated loss, it is 60th of 2,944 failures since 1934. In the size ranking of that year, just above it was Empire of America FSB of Buffalo, New York ($8.2 billion, loss 15% of assets); just below, Southwest Savings Association of Dallas, Texas ($5.3 billion, loss 7.3% of assets). Every 1990 failure in the explorer.
Failures in Arizona
In 1990 regulators closed 8 banks in Arizona; this was the first. The previous failure there was First Commerce National Bank of Phoenix, on December 7, 1989. The next was Sentinel Savings and Loan Association of Phoenix, on February 2, 1990. Maricopa County has 35 failed banks on FDIC record since 1934. Closest in time: First Commerce National Bank (1989), Sentinel Savings and Loan Association (1990), Gateway National Bank (1990), Independent National Bank (1990), Guardian Bank (1990).