Department of Banking and Finance bulletin, Feb. 29, 2004

. . . .BULLETIN. . . .BULLETIN. . . .BULLETIN. . . .BULLETIN. . . .
STATE OF GEORGIA
DEPARTMENT OF BANKING AND FINANCE
2990 Brandywine Road, Suite 200 Atlanta, Georgia 30341-5565
DAVID G. SORRELL, COMMISSIONER

Phone: (770) 986-1633

Fax: (770) 986-1655

Internet Address: http://www.gadbf.org
February 29, 2004 The following is a summary of official action taken on applications by State Financial Institutions under Chapter 7-1 of the Code of Georgia and petitions for Certificate of Incorporation of Financial Institutions and other matters of interest during the month of February 2004.
IN THIS ISSUE: Interagency Guidance Regarding Accounting for Deferred Compensation Agreements and Bank Owned Life Insurance Financial Services Information Sharing and Analysis Center (FSISAC)

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APPLICATIONS FOR NEW FINANCIAL INSTITUTION

FINANCIAL INSTITUTION Freedom Bank of Georgia 3165 Maysville Road Commerce, GA 30329 Jackson County

CAPITALIZATION $ 7,543,996

APPROVAL DATE 07-01-2003

BEGIN BUSINESS DATE 02-17 -2004

American United Bank 1800 Old Norcross Road Lawrenceville, GA 30044 Gwinnett County

$ 10,000,000

Pending

Highland Commercial Bank 3411 Ernest Barrett Parkway, NW Marietta, GA 30064 Cobb County

$ 10,000,000

02-02-2004

Local Bank of Middle Georgia 306-308 North Davis Drive Warner Robins, GA 31093 Houston County

$ 7,000,000

Pending

APPLICATIONS TO ESTABLISH A BRANCH OFFICE

FINANCIAL INSTITUTION Integrity Bank Alpharetta

BRANCH OFFICE South Forsyth Branch Office Highway 141 and Mathis Airport Road

APPROVAL DATE
02 -17-2004

Cumming, GA 30041

Forsyth County

Capitol City Bank & Trust Company Savannah Branch Office

Atlanta

339 Martin Luther King Boulevard

Savannah, GA 31401

Chatham

SunTrust Bank

Arundel Mills Safeway Branch Office

Atlanta

7648 Arundel Mills Boulevard

Hanover, MD 21076

Ann Arundel County

12 -10-2002 02 -09-2004

BEGIN BUSINESS DATE
01-30-2004

SunTrust Bank Atlanta

Lake Nona Branch Office 10536 Moss Park Road Orlando, FL 32832 Orange County

11 -17-2003

02-23-2004

SunTrust Bank Atlanta

13th and U Streets Branch Office 1250 U Street NW Washington, DC 20009

02 -20-2004

United Community Bank Blairsville

Joe Frank Harris Parkway Branch Office 1320 Joe Frank Harris Parkway Cartersville, GA 30120 Bartow County

11 -01-2002

02-02-2004

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FINANCIAL INSTITUTION United Community Bank Blairsville

BRANCH OFFICE Savannah Branch Office 24 Drayton Street, Suite 102 Savannah, GA 31401 Chatham County

Main Street Bank Covington

Peachtree Street Branch Office 1355 Peachtree Street, NE, Suite 100 Atlanta, GA 30309 Fulton County

Decatur First Bank Decatur

WalMart Store Branch Office #1340 5401 Fairington Road Lithonia, GA 30038 DeKalb County

The Peachtree Bank Duluth

Roswell Branch Office 695 Mansell Road, Suite 110 Roswell, GA 30076 Fulton County

The Heritage Bank Hinesville

Altama Connector Branch Office 150 Altama Connector Brunswick, GA 31525 Glynn County

The Heritage Bank Hinesville

Statesboro Branch Office 730 Northside Drive East Statesboro, GA 30458 Bulloch County

Crescent Bank and Trust Company Jasper

Midway Branch Office 5395 Highway 9 Alpharetta, GA 30004 Forsyth County

Georgia State Bank Mableton

Atlanta Street Branch Office 31 Atlanta Street Marietta, GA 30660-1977 Cobb County

Rivoli Bank & Trust Macon

Bass Road Branch Office 1551 Bass Road Macon, GA 31210 Bibb County

Georgian Bank Powder Springs

City View Cumberland Boulevard Branch Office 3330 Cumberland Boulevard, Suite 625 Atlanta, GA 30339 Cobb County

APPROVAL DATE
02 -20-2004

BEGIN BUSINESS DATE

02 -04-2004

02 -19-2004

09 -09-2003

01-26-2004

02 -24-2004

11 -21-2003

02-09-2004

Pending

02 -06-2004

02 -11-2004

02 -13-2004

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FINANCIAL INSTITUTION Georgian Bank Powder Springs

BRANCH OFFICE Prominence in Buckhead Branch Office 3475 Piedmont Road, Suite 400 Atlanta, GA 30305 Fulton County

APPROVAL DATE
02 -13-2004

BEGIN BUSINESS DATE

Georgian Bank Powder Springs

Corporate Lakes Office Park Branch Office 1255 Lakes Parkway, Suite 100 Lawrenceville, GA 30043 Gwinnett County

02 -13-2004

Altamaha Bank and Trust Company Vidalia Downtown Branch Office

Uvalda

206 Jackson Street

Vidalia, GA 30474

Toombs County

02 -13-2003

06-17-2003

United Bank Zebulon

Madison Branch Office 1690 Eatonton Highway Madison, GA 30650 Morgan County

10 -08-2003

02-09-2004

FINANCIAL INSTITUTION Bank of North Georgia Alpharetta

APPLICATIONS TO CHANGE LOCATION

From: To:

CHANGE LOCATION OF Roswell Branch Office 1184 Alpharetta Street Roswell GA 30075 Fulton County 10445 Alpharetta Highway Roswell GA 30075 Fulton County

APPROVAL DATE 02-20-2004

EFFECTIVE DATE

PROPOSED NAME Hamilton Bank and Trust

APPLICATIONS FOR RESERVATION OF A NAME

COUNTY Gwinnett County

APPLICANT Mr. Brent H. Baker, President Brent Baker, Inc. Post Office Box 2669 Cumming, GA 30028

Tifton Banking Company

Tift County

Mr. John B. Kline, Principal Mauldin & Jenkins, LLC Post Office Box 724888 Atlanta, GA 31139

FINANCIAL INSTITUTION (SURVIVOR) The Prudential Savings Bank, FSB Atlanta

FINANCIAL INSTITUTION MERGERS

MERGED INSTITUTION The Prudential Bank & Trust Company Atlanta

APPROVAL DATE Pending

EFFECTIVE DATE

Southwest Georgia Bank Moultrie
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Sylvester Banking Company Sylvester

02 -24 -2004

02-27 -2004

FINANCIAL INSTITUTION (SURVIVOR) Associated Credit Union
Norcross

MERGED INSTITUTION Atlanta Kemba Federal Credit Union Atlanta

APPROVAL DATE 02 -05 -2004

EFFECTIVE DATE

APPLICATIONS TO BECOME A BANK HOLDING COMPANY AND/OR TO ACQUIRE VOTING STOCK OF A FINANCIAL INSTITUTION

BANK HOLDING COMPANY

TO ACQUIRE

APPROVAL DATE

FORMATIONS Piedmont Bancshares, Inc. Atlanta, GA

Piedmont Bank of Georgia Atlanta, GA

Pending

Bainbridge Bancshares, Inc. Bainbridge, GA

First National Bank of Decatur County (IO) Bainbridge, GA

02-18-2004

CBB Bancorp Cartersville, GA

Century Bank of Bartow County Cartersville, GA

02-27-2004

Allied Bancshares, Inc. Cumming, GA

First National Bank of Forsyth County (IO) Cumming, GA

02-24-2004

New Horizons Bancshares, Inc. East Ellijay, GA

New Horizons Bank (IO) East Ellijay, GA

Pending

ACQUISITIONS CNB Holdings, Inc. Alpharetta, GA

First Capital Bank Norcross, GA

02-27-2004

Synovus Financial Corp. Columbus, GA

Trust One Bank Memphis, TN

Pending

Southwest Georgia Financial Corporation Moultrie, GA

Sylvester Banking Company Sylvester, GA

02-03-2004

Prudential IBH Holdco, Inc. Newark, NJ

CIGNA Bank & Trust Company, FSB Hartford, CT

02-25-2004

CITY Augusta Marietta Louisville Rome Cochran Rome Dublin Mableton Atlanta Forest Park

CHECK CASHER LICENSES ISSUED

APPLICANT NAME AJN Choi, Inc. ALK Corporation Blocker's Speedy, Inc. CWO Enterprises, Inc. Hetal, Inc. Mo Money Fast, Inc. Patel, Kamleshbhai, B. Rumba Latina Music & Video, Inc. Song Trading, Inc. Ukani Brothers, Inc.

TRADE NAME Kissingbower Liquor Store Mink's Package Store Blocker's Package Shop Warehouse Beverage Center Hetal, Inc. MoMoney Fast One Stop Package Shop Rumba Latina Music & Video Shopper's Market Quick Stop Food Mart

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MONEY TRANSMITTER VN USA Enterprises, Inc. Doraville, GA
Unitransfer Georgia, Inc. Hollywood, FL
Trans-Fast Remittance, Inc. New York, NY

MONEY TRANSMITTER LICENSES ISSUED
APPROVAL DATE 02 -16 -2004
02 -10 -2004
02 -10 -2004

NOTICES
Interagency Guidance issued regarding Accounting for Deferred Compensation Agreements and Bank Owned Life Insurance
Georgia state chartered banks should be advised that joint interagency guidance was issued on February 11, 2004 by the Federal Reserve, the FDIC, the OCC and the OTS regarding accounting for deferred compensation agreements and bank owned life insurance (BOLI). The FDIC issued FIL-16-2004 based on this guidance. It has been noted that a number of financial institutions are incorrectly accounting for their obligations under deferred compensation agreements often referred to revenue neutral or indexed retirement plans. The benefits under these plans are typically based on the performance of BOLI policies on bank employees. It has been noted that a number of financial institutions have failed to follow the requirements of Generally Accepted Accounting Principals (GAAP) regarding these accounts. It is recommended that banks that utilize deferred compensation agreements based on BOLI products review the interagency guidance that has been formulated on this subject and also consult with their CPA's to assure that proper accounting treatment has been accorded to these accounts and to assure that changes do not need to be made to the bank's balance sheet and income statements for current or prior periods. If such changes are made the bank should make certain that call report filings are amended where applicable.
This link can be accessed at the FDIC website at the following address: http://www.fdic.gov/news/news/financial/2004/fil1604.html
The Department of Banking and Finance has issued guidance to financial institutions regarding the purchase of BOLI, which includes a number of safety and soundness requirements, including a requirement to follow GAAP. The Department's guidance is located on Page 47 of the Department's Statement of Policies, which can be accessed at: http://www.gadbf.org/pdfdoc/statpoli.pdf
If there are any questions regarding these issues, please contact Deputy Commissioner for Supervision Grace M. Lurry at (770) 986-1646.
Financial Services Information Sharing and Analysis Center (FSISAC)
The FSISAC is a not for profit organization formed in 1999 to serve the needs of the financial services industry for the dissemination of physical and cyber security threat, vulnerability, incident, and solution information. The FSISAC offers eligible participants the ability to anonymously share physical and cyber security information.
Following September 11, 2001, the FSISAC realized that it needed to reach more sector participants. The FSISAC has been redesigned to provide five levels of service according to members' needs. These range from basic membership, which is free , to tiered levels of membership that provide value-added services for annual fees.
Treasury funds programs that will enable the FSISAC to enhance security awareness for all financial services institutions. Expanded and enhanced FSISAC services will include providing members with secure collaboration , additional feeds for threats and vulnerabilities, alert confirmation, new analytical capabilities, and metrics.
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About the Financial Services ISAC What is an ISAC?
An ISAC (Information Sharing and Analysis Center) comprises a secure database, analytic tools, and information gathering and distribution facilities designed to allow authorized individuals to submit either anonymous or attributed reports about information security threats, vulnerabilities, incidents and solutions. ISAC members also have access to information and analysis relating to information provided by other members and obtained from other sources, such as US Government and law enforcement agencies, technology providers and security associations. The Financial Services ISAC (FSISAC) is exclusively for, and designed by, professionals in the banking, securities and insurance industries. No US Government agency, regulator or law enforcement agency can access the FSISAC. For information about becoming a member of the FSISAC or to learn more, visit their website at: http://www.fsisac.com/
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