Guaranty faces crucial deadline this week – Austin American Statesman
Austin-based Guaranty Financial Group Inc. faces a crucial deadline this week that could determine whether it will remain independent, have its assets liquidated or be absorbed by another financial institution.
On Thursday, Guaranty is due to submit a plan for its future to the Office of Thrift Supervision. The regulator has said Guaranty has “engaged in unsafe and unsound banking practices,” and the bank has said that key ratios of capital to assets have fallen below acceptable levels.
Guaranty executives aren’t talking publicly, but in a regulatory filing last week, the bank said that efforts to raise more capital are in progress. It acknowledged that there is “substantial doubt” about Guaranty’s ability to keep operating as a going concern. Read Full Article
Posted by Eureka Expert
on May 17 2009. Filed under Lending.
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[...] remain independent, have its assets liquidated or be absorbed by another financial institution. Continue Tags: Banks, Lending, [...]
[...] remain independent, have its assets liquidated or be absorbed by another financial institution. Continue Tags: Banks, Lending, [...]