[paulgb]

Although, things worked out in the end for depositors, likely in part because it was a high-profile, “safe bet” bank.

[lazide]

Honestly, this is generally the way the FDIC has done it. I don’t recall any uninsured depositors at Wamu getting screwed either in ‘08.

[RC_ITR]

Because they got bought.

Uninsured Indymac depositors got $0.50/dollar and usually, an uninsured depositor at a small bank can expect $0.60-0.75/dollar.

[lazide]

Yes, and the FDIC brokers those sales rapidly and with vigor.

If someone doesn’t want to buy a small regional, it’s because the FDIC didn’t care to make it happen. Which isn’t surprising if there is no systemic risk involved.