Tampa Branch Sale

6 Months Ended

Jun. 30, 2011

7. Tampa Branch Sale

In August 2010, BankAtlantic announced that, due to the rapidly changing environment in Florida and the banking industry, it decided to focus on its core markets in South Florida and BankAtlantic began seeking a buyer for its 19 branches located in the Tampa, Florida area. In January 2011, BankAtlantic agreed to sell its 19 branches and 2 related facilities in the Tampa area and the associated deposits to an unrelated financial institution and on June 3, 2011, BankAtlantic completed the Tampa sale. The purchasing financial institution paid i) a 10% premium for the deposits plus ii) the net book value of the acquired real estate and substantially all of the fixed assets associated with the branches and facilities.

The following summarizes the assets sold, liabilities transferred and cash outflows associated with the branches and facilities sold (in thousands):

Assets Sold:		Amount
Property and equipment	$	28,626
Total assets sold		28,626
Liabilities Transferred:
Deposits		324,320
Other liabilities		183
Total liabilities transferred		324,503
Net liabilities transferred		(295,877)
Gain on sale of Tampa branches		40,615
Transaction costs		(1,959)
Net cash outflows from sale of branches	$	(257,221)

The assets and liabilities associated with the Tampa branches as of December 31, 2010 were as follows (in thousands):


ASSETS
Cash and cash equivalents	$	5,850
Office properties and equipment		31,484
Total assets held for sale	$	37,334
LIABILITIES
Interest bearing deposits	$	255,630
Non-interest bearing deposits		85,516
Total deposits		341,146
Accrued interest payable		87
Total liabilities held for sale	$	341,233