|
|
"A comprehensive, collaborative elections resource."
|
Citigroup Has Reached a Deal to Repay U.S. Bailout Funds
|
|---|
| Parent(s) |
Issue
|
| Contributor | ArmyDem |
| Last Edited | ArmyDem Dec 14, 2009 11:45am |
| Logged |
1
[Older]
|
| Category | News |
| Media | Newspaper - New York Times |
| News Date | Monday, December 14, 2009 05:00:00 PM UTC0:0 |
| Description | By ERIC DASH and JEFF ZELENY
Published: December 14, 2009
Citigroup reached a deal early Monday morning to be the last of the big Wall Street banks to exit the government’s bailout program, after persuading regulators that it was sound enough to stand on its own.
Citigroup announced a broad program that will replace the $20 billion of remaining bailout aid with money from private investors, facilitate the sale of the government’s $25 billion in bank stock and allow it to wean itself off other forms of federal assistance.
To help replenish its coffers, Citigroup expects to raise about $17 billion by selling stock as early as this week and issue up to $7.2 billion in other capital by the first quarter of next year. The moves will leave the bank with one of the largest capital cushions of the major banks, assuaging regulators’ concerns about its ability to weather another severe downturn without returning to the government for help. The plan also should help Citigroup shed the stigma that came with accepting bailout money and remove the harsh compensation restrictions imposed on banks that received multiple bailouts. |
| Share |
|
|
2¢
|
|
| Article | Read Full Article |
|
| Date |
Category |
Headline |
Article |
Contributor |
|
|
