Santa Paula Savings Is Taken Over by Bank of A. Levy : Countywide
Santa Paula Savings, a 100-year-old mutual savings and loan institution with five branches in Ventura County, was sold to Bank of A. Levy on Friday, officials said.
The savings and loan was ordered to be put up for sale by the Office of Thrift Supervision, a federal agency, about six weeks ago because it had not maintained the minimum capital required by law, said Mary Levinson, Bank of A. Levy executive vice president.
“They had had some substantial loan losses from some loans that were out of the area,” Levinson said. “But it is still a viable business.”
Santa Paula Savings customers will be mailed information about the sale and whether they will be affected, Levinson said. “There will be some glitches, but we will try to make it as easy as possible. For example, the rates for (certificates of deposit) and IRAs will not be changed.”
Bank of A. Levy will assume all deposits, totaling about $236.3 million, Levinson said. Bank of A. Levy also purchased $226.8 million of Santa Paula Savings assets.
Santa Paula Savings has about 100 employees, but it is unclear how many of them will lose their jobs because of the purchase, Levinson said.
“There will be some changes,” said Robert Harbison, chairman of Santa Paula Savings, “but in some respects it will be business as usual.”
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