As part of the deal early Monday, California’s regulator appointed the Federal Deposit Insurance Corporation (FDIC), the agency that guarantees bank deposits, as receiver for First Republic’s immediately sold JPMorgan Chase Have to go
According to a statement from the FDIC, the settlement means JPMorgan will recover all of the bank’s deposits as well as “virtually” all of its assets. The federal agency estimates First Republic will have to pay out about $13 billion to cover its losses, but the bank’s 84 branches will be able to reopen as usual on Monday.
“Our government invited us and others to step up, and we did,” JPMorgan CEO Jamie Dimon said in a statement after the deal was announced.