Bank Reports Sale of Subsidiary Canceled

Ventura County National Bank has announced that the planned sale of its Orange County-based subsidiary to Peninsula Bank has been called off because they could not agree on a final purchase price.

VCNB President and Chief Executive Officer Richard Cupp said that Peninsula Bank in Palos Verdes was going to buy its subsidiary, Frontier Bank.

When the sale was first reported in early July, Cupp said the price would be $7 million for Frontier Bank, which has assets of $96 million and branches in La Palma and Wilmington. Cupp said then that the sale was necessary to meet capital requirements for VCNB established last year by the Office of the Comptroller of the Currency following its investigation of the bank’s management and operations.

Cupp did not say whether VCNB had other potential buyers for Frontier.