IN RE: Forethought Federal Savings Bank (Proposed)
Batesville, Ripley County, Indiana
Application for Federal Deposit Insurance
(Savings Association Insurance Fund)
ORDER
The undersigned, acting under delegated authority, has fully considered all facts and
information relevant to the factors of Section 6 of the Federal Deposit Insurance Act
relating to the application for federal deposit insurance for Forethought Federal Savings
Bank-, a proposed new limited purpose federal savings bank to be located at Forethought
Center, Batesville. Ripley County, Indiana, and has concluded that the application should
be approved.
Accordingly, it is hereby ORDERED, for the reasons set forth in the attached
Statement, that the application submitted by Forethought Federal Savings Bank for federal
deposit insurance be and the same hereby is approved subject to the following conditions:
1. That beginning paid-In capital funds of not less than $2,862,000 be provided, of which
not less than $1,600,000 shall be allocated to common stock;
2. That any changes in proposed management or proposed ownership (10 percent or more of
stock), including new acquisitions of or subscriptions to 10 percent or more of stock,
will render this commitment null and void unless such proposal is approved by the Regional
Director of the FDIC's Chicago Regional Office prior to opening of the bank;
3. That information, acceptable to the Regional Director, be provided substantiating that
sufficient management and personnel will be available to satisfactorily operate the
institution upon opening;
4. That federal deposit insurance shall not become effective unless and until the
applicant has been established as a federal savings bank, that it has authority to conduct
a banking business, and that its establishment and operation as a bank have been fully
approved by the Office of Thrift Supervision;
5. That the insured institution shall be engaged in the business of receiving deposits,
other than trust funds;
6. That until the conditional commitment herein granted becomes effective, the FDIC
shall have the right to alter, suspend or withdraw said commitment should any interim
development be deemed to warrant such action; and
7. That if federal deposit insurance has not become effective within twelve months from
the date of this ORDER, or unless, in the meantime, a request for an extension of time has
been approved by the FDIC, the consent granted herein shall expire at the end of the said
twelve-month period.
Dated at Washington, D.C. this 28th day of July 1998.
FEDERAL DEPOSIT INSURANCE CORPORATION
Mark S. Schmidt
Associate Director
Division of Supervision
FEDERAL DEPOSIT INSURANCE CORPORATION
IN RE: Forethought Federal Savings Bank (Proposed)
Batesville, Ripley County, Indiana
Application for Federal Deposit Insurance
(Savings Association Insurance Fund)
STATEMENT
Pursuant to the provisions of Section 5 of the Federal Deposit Insurance Act (12 U.S.C.
1815), an application for federal deposit insurance with membership in the Savings
Association Insurance Fund has been filed on behalf of Forethought Federal Savings Bank
(Forethought), a proposed new federal savings bank to be located at Forethought Center.
Batesville, Ripley County, Indiana.
Forethought will be a wholly-owned subsidiary of Hillenbrand Industries, Inc,
Batesville, Indiana. It will be a limited purpose federal savings bank with the primary
business of providing pre-need funeral funding trust services on a nationwide basis.
For the purposes of this proposal, fixed asset arrangements are reasonable, capital is
adequate, future earnings prospects are favorable, and management is considered
satisfactory. No formal objections to this application have been filed and the proposed
institution will provide a specialized service to its targeted market with no apparent
competitive impact. Corporate powers to be exercised are consistent with the purpose of
the Federal Deposit Insurance Act and the proposal constitutes no apparent undue risk to
the deposit insurance fund.
Accordingly, based upon a careful evaluation of all available facts and information,
the Associate Director, pursuant to delegated authority, has concluded that approval of
the application is warranted.
ASSOCIATE DIRECTOR
DIVISION OF SUPERVISION