Article: Colonial BancGroup Signs Order with Regulators.

MONTGOMERY, Ala. -- The Colonial BancGroup, Inc. (NYSE: CNB) announced today it has consented to an Order to Cease and Desist (Order) by the Board of Governors of the Federal Reserve System (Federal Reserve) and the Alabama State Banking Department (State). The Order is effective as of July 22, 2009. The Federal Reserve is the primary federal regulator of Colonial BancGroup, the holding company of Colonial Bank. Similar to the regulatory order issued to Colonial Bank by the FDIC and the State, BancGroup agreed to take certain actions intended to address various issues that have impacted the Company's financial condition and performance. Among other things, the Order ...

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