JPMorgan Chase acquires banking operations of Washington MutualMortgagePress.comJPMorgan Chase, Washington Mutual, FDIC, depositors, Deposit Insurance Fund
JPMorgan Chase has acquired the banking operations of Washington
Mutual Bank in a transaction facilitated by the Federal Deposit
Insurance Corporation. All depositors are fully protected and there
will be no cost to the Deposit Insurance Fund.
"For all depositors and other customers of Washington Mutual
Bank, this is simply a combination of two banks," said FDIC
Chairman Sheila C. Bair. "For bank customers, it will be a seamless
transition. There will be no interruption in services and bank
customers should expect business as usual come Friday morning."
JPMorgan Chase acquired the assets, assumed the qualified
financial contracts and made a payment of $1.9 billion. Claims by
equity, subordinated and senior debt holders were not acquired.
"WaMu's balance sheet and the payment paid by JPMorgan Chase
allowed a transaction in which neither the uninsured depositors nor
the insurance fund absorbed any losses," Bair said.
Washington Mutual Bank also has a subsidiary, Washington Mutual
FSB, Park City, Utah. They have combined assets of $307 billion and
total deposits of $188 billion.
Thursday evening, Washington Mutual was closed by the Office of
Thrift Supervision and the FDIC named receiver. WaMu customers with
questions should call their normal banking representative, service
center at (800) 788-7000 or visit www.WaMU.com. The FDIC's consumer
hotline is (877) ASK-FDIC (1-877-275-3342) or visit www.fdic.gov.