BANKING/FINANCE

Banks Galore: With tougher competition, failing institutions and higher scrutiny by regulators, the banking industry was expected to consolidate during the early 1990s.

Gerry Findley, the dean of independent banking consultants in California, has said that the industry will have to consolidate to improve performance and remain competitive.

So what has happened in the first six months this year?

Findley reports that five banks, including Citizens Bank of Costa Mesa and El Camino Bank in Anaheim, have disappeared through mergers. Two other banks in the state have failed.

At the same time, 10 new banks have opened.

In addition, three other banks have received regulatory approval to go into business, while various investors are seeking approval to organize seven other banks, including one that would be called Pacific Coastal Bank, in Huntington Beach.

So much for bank consolidation.