The Federal Deposit Insurance Corp. (FDIC) is intends to divest three banks. FDIC has retained an investment bank for the sale of W Holding Co. Inc., R&G Financial Corp. and Eurobancshares Inc., two people close to the situation stated. The three banks have about $21 billion in combined assets. The Wall Street Journal reported a spokesman for the FDIC denied commenting on the issue. One banker said: "We've been talking about consolidation here for years, and finally it seems that it's going to happen in the next few months." In 2009, W Holding, R&G and Eurobancshares had faced sharp enforcement actions from FDIC due to deficiencies, including "insufficient" or "unsatisfactory" earnings, "inadequate" management, and too little capital and "excessive" levels of troubled loans. "There seems to be little interest from banks other than the ones already there," one investment banker said. Real-estate investors have expressed some interest in possibly bidding for some loans, said one lawyer with knowledge of the situation. Potential buyers for the banks include Doral Financial Corp., Popular Inc., Oriental Financial Group Inc. and Bank of Nova Scotia.

On January 29, 2010, Mr. Robert Allan Stolberg Acosta, M.D., was appointed to the boards of directors of W Holding Co. Inc. and Westernbank Puerto Rico. Mr. Stolberg, age 65, is the president of The Stolberg Group. Mr. Stolberg has been a psychiatrist (since 1973) and a full-time professor of the University Of Puerto Rico -- School Of Medicine (since 1995). Mr. Stolberg will serve on the following standing committees of the board of directors of the company: Audit; Asset & Liability; Senior Lending; Nominating and Corporate Governance; Executive; and Compensation.

On January 19, 2010, Cornelius Tamboer resigned from the Boards of Directors of each of W Holding Co. Inc. and its Westernbank Puerto Rico. Mr. Tamboers resignation was not as a result of any disagreement with the company regarding the companys operations, policies or practices.