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Irwin closure brings US bank failures to 94

US REGULATORS have closed two banking units of Irwin Financial, bringing the number of federally insured lenders to fail this year to 94.<br /><br />The Federal Deposit Insurance Corporation (FDIC) was appointed receiver of the two units, Irwin Union Bank and Irwin Union Bank and Trust and will transfer the banks&rsquo; deposits to First Financial Bank.<br /><br />First Financial will also assume control of the banks&rsquo; assets, with the FDIC entering into a loss-sharing agreement on a combined $2.5bn (&pound;1.54bn) worth of assets.<br /><br />Irwin Union Bank had $493m in assets and $441m in deposits as of 31 August, while Irwin Union Bank and Trust had $2.7bn in assets and $2.1bn worth of deposits.<br /><br />The failure of the two banks is set to cost the FDIC around $850m, paid for out of the regulator&rsquo;s banking failure fund, of which $10.4bn remains from an initial pool of $42bn.