Guaranty Bank Texas ACQUIRED by Compass Bank

August 19, 2009 - It is now official. Guaranty Bank is now BBVA- Compass Bank.

Banco Bilbao Vizcaya Argentaria SA (NYSE: BBV)

BBVA Compass is a leading U.S. banking franchise located in the Sunbelt region. BBVA Compass is among the top 25 largest banks in the U.S. based on deposit market share and ranks as the third largest bank in Alabama and the fourth largest bank in Texas. Headquartered in Birmingham, Alabama, it operates 583 branches throughout Texas, Alabama, Arizona, Florida, Colorado and New Mexico.

Compass Bancshares, Inc., a wholly owned subsidiary of BBVA (NYSE: BBV) (MAD: BBVA). BBVA is a financial services group with more than $750 billion in total assets, 48 million clients, 8,000 branches and approximately 109,000 employees in more than 30 countries. BBVA provides its customers around the world with a full range of financial services, including commercial and wholesale banking, retail banking services, consumer loans, mortgages, credit cards, securities brokerage, wealth management, pension plan management and insurance. The BBVA Group maintains a leadership position in Spain, Mexico, Latin America and the Sunbelt Region of the United States as well as operations in China, France, Germany, Hong Kong, Italy, Japan, Singapore, Switzerland, and the United Kingdom.

August 12, 2009 - Compass bank, US Bank, The Ford Companies (not auto) by Gerald Ford and Blackstone are of the potential buyers.  Some speculation of Amegy Bank, Frost Bank and Chase bank.  Looks like a decision will be made as early as next week.

7-23-09 - Guaranty Financial Group, Inc filed for OBA (Open Bank Assistance) DENIED. FDIC probably wont have to take over as there is substantial interest from 4 buyers in purchasing/merging with Guaranty Bank...but they have not said yet who the winning bidder is.

Could it be Comerica? US Bank? California Bank & Trust. Wells Fargo...Union Bank? FDIC to come in and price the bank and find a buyer within next few weeks.

More than likely, it will be months before the actual name changes and customers deposits remain FDIC insured up to $250,000. per depositor so no need to panic! The worst case scenario is you get a statement with a different bank name...thats it.

Headquarters - Austin, Texas. As of 07-23-09, last trade at a whopping $0.18 cents. Stock symbol: GFG

07-01-09 - GFG is hoping for OBA - Open Bank Assistance, an option by the FDIC. This will allow them to stay GFG while they attempt to build themselves back up. Does not look good however...and OBA has not been used since the early 80's. Looks like GFG wants to find a private buyer so that they can remain the same...but I dont know, "the same" got you this far...dont you think it is time for change?

06-25-09 - Still waiting for 2008, 4Q earnings report. Still waiting for answer from The Office of Thrift Supervison, with their decision on Guaranty Bank's "business plan" to raise capital. Guaranty Bank was given a deadline by OTS of May 21, 2009 to meet a core capital ratio of at least 8 percent and a risk-based capital ratio of at least 11 percent. Guaranty submitted a plan to raise capital which is still being reviewed by OTS.

Guaranty Bank last received a capital injection of $600 Million from Robert Rowling and Carl Icahn in June of 2008.

There is a lot of speculation on this bank being merged with Citi or US Bank and possibly Wells Fargo to name a few...but who really knows? Also, speculation of Comerica and or US Bank. Possibly California Bank and Trust.

Only the head honchos and/or OTS. Message boards have people making all kinds of sensationalized claims. Many of them doom and gloom and some practically begging you to buy stock. LOL...ya, I don't know about that. One user stated that there is no way Citi would buy/merge with GFG because of a $36 million dollar market gap.

Guaranty bank has 57 branches in California and 100 in Texas. They are the second largest Texas based bank with $16 billion in assets.

Most of the losses are due to the California real estate crisis. The buzz on the web is that there is still $500 BILLION in bad mortgages that have yet to come up bad, but inevitably will.

Are they here to stay? Or are they getting ready to pack it up and head for the hills? There has been some recent news that they are preparing to start a new incentive plan for employees within a few months as they are continuing to grow, even more than before, with a new and outstanding checking account product.

Guaranty banks website (www.guarantybank.com) reveals a checking account with:

NO fees

5 cents cash back on check card purchases

Pays interest

Free checks for life

Free online banking

Free bill pay

Every ATM in the world is free to use.

Ya, pretty nuts, they reverse the fees that the other banks ATM machine charges you, automatically within 24 hours and they don't charge you a fee for using a foreign ATM either...so in essence, every ATM is like using Guaranty Banks ATM = FREE.

One hand says punch the gas and drop it in to drive. The other says grab a drink and relax for awhile.

07-01-09 -

The San Antonio Business Journal said the company is seeking a plan for the FDIC to absorb part of the bank's losses while private investors put up a "significant equity capital transfusion."

The amount of the bank's business here and its percentage of the local total could not be determined, but Yahoo Finance said its stock had fallen from $18.10 per share in December 2007 to 20 cents at last report.