SouthPoint Bancshares in Birmingham, Ala., is dealing with a written agreement with its regulators.
The $1.7 billion-asset company entered into the enforcement action with the Federal Reserve and the Alabama State Banking Department. The bank already has a consent order with the Federal Deposit Insurance Corp. tied to credit risk management and asset quality.
The new agreement requires the company to submit a capital plan and cash-flow projections to Fed and state officials. SouthPoint must also “take appropriate steps to fully utilize SouthPoint’s financial and managerial resources … to serve as a source of financial and managerial strength to the bank.”