F&M Bank directors see no need to participate in bailout

Farmers & Merchants Bancorp, Inc., holding company of Farmers & Merchants State Bank, has announced its decision not to participate in the U.S. Treasury Department's Capital Purchase Plan, which is part of the broader Troubled Asset Relief Program, approved by Congress in October.

The decision was made by the bank's board of directors and management. According to news release, issued last Friday, the bank is "well capitalized now and for the foreseeable future. F&M has liquidity to continue to make loans of all sizes and is actively looking for all the good loans it can find."

The primary purpose of the CCP is making loans available. The board "believes it is already well positioned to meet the CCP's objectives," the release stated.