UPDATE 1-U.S. bank regulators say closed Bank of Wyoming

(Adds details on FDIC's action on closing bank)

By Tom Doggett

WASHINGTON, July 10 (Reuters) - Federal bank regulators on Friday closed Bank of Wyoming, the 53rd U.S. bank to fail this year as the struggling economy and falling home prices take their toll on financial institutions.

The Federal Deposit Insurance Corp said Bank of Wyoming had $70 million in assets and $67 million in deposits. The failure is expected to cost the FDIC deposit insurance fund an estimated $27 million.

Central Bank & Trust based in Lander, Wyoming, agreed to assume the insured deposits of Bank of Wyoming, whose one branch will reopen during normal business hours as a branch of Central Bank & Trust.

Central Bank & Trust will purchase all deposits, except about $8 million in brokered deposits, held by Bank of Wyoming.

The FDIC said it will pay the brokers directly for the amount of their funds. Customers who placed money with brokers should contact them directly for more information about the status of their deposits, the agency said.

In addition to assuming all of the deposits of the failed bank, Central Bank and Trust agreed to purchase $55 million of its assets. The FDIC will retain any remaining assets for later disposition.