To examine the impact of bank failures on lending, it is useful to examine the resolution techniques employed by the FDIC and the location of the failures. Panel A of table I provides some descriptive evidence on resolutions over the 1987-1991 period, while Panel B lists the 10 states with the greatest number of failures. During the late 1980s and early 1990s, the FDIC resolved the majority of bank failures through purchase and assumption (P&A) agreements. As shown in Panel A, P&As accounted for 73%, or 675 of the 927 total resolutions. Panel B shows that, although failures occurred across the nation, they were concentrated in the Southwest. For example, Texas and Louisiana had the greatest number of failures, experiencing 446 and 58 failures, respectively.