United Commercial Bank Seized, Becomes 120th U.S. Bank to Fail in 2009

Throughout 2009, U.S. banks have fallen at the most rapid rate in 17 years and earlier today, United Commercial Bank became the 120th bank in the nation to fail this year.

According to Bloomberg.com, United Commercial Bank was based in San Francisco, California and it possessed $11.2 billion in total assets. However, the bank was seized by regulators and purchased by the Pasadena, Calif., based East West Bancorp.

As a result of their purchase of UCBH Holdings Inc.'s United Commercial Bank, East West Bancorp bank has announced that it has become the largest bank in the United States to specialize in serving Asian-American citizens. Bloomberg.com is reporting that United Commercial Bank was the fifth and final U.S. based lender to be seized on Friday alone.

CEO of East West Bancorp Dominic Ng provided a comment in response to his bank's purchase of United Commercial Bank, stating, "This is a transformational event. The transaction strengthens our presence in key markets throughout the United States and Asia."

Prior to today's seizing of UCBH Holdings Inc.'s United Commercial Bank, there were 63 branches of the bank located nationwide as well as international operations that were based in China. Not only is East West Bancorp now the nation's leader in serving Asian-Americans but it is now regarded as California's second largest independent lender.