The Federal Home Loan Bank Board this week arranged four more government-supervised takeovers of failing savings and loan associations, bringing the total to 35 this year. Six S&Ls were eliminated in the latest actions.
Two South Dakota S&Ls, First Dakota Home of Pierre and First Federal of Sioux Falls, were absorbed by American Pacific Bancorp of Sioux Falls at a cost to the Federal Savings and Loan Insurance Corp. of $4 million in cash. First Federal Savings and Loan Association of New York City was merged into First Federal Savings and Loan of Rochester in exchange for notes to be repaid out of future profits.
Two Louisiana S&Ls, Republic Federal of Lafayette and First Federal of Acadia, Rayne, were merged into Acadia Savings and Loan of Crowley, La., at a cost to the FSLIC of $670,000.
The agency also approved for the first time the acquisition of a failing S&L by a group of investors. First Federal S&L of Springhill, La., will become Twin City Federal S&L after it is taken over by eight Louisiana investors who will put up $400,000 in new capital.
In contrast, a profitable California savings and loan, Point Loma of San Diego, was given a charter to become a national bank, the Bank of Southern California. Its president, Tom Stickle, said the institution was tired of waiting for Congress to pass legislation giving savings and loans additional powers.