Treasury lets 10 banks repay $68 billion - Nashville Business Journal:

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The department said the institutions, which were not have met the requirements for repayment established by federalkbanking supervisors. It noted that many banks recently have raised equity capital from private investors and haveissued long-term debt that is not guaranteed by the “These repayments are an encouraginvg sign of financial repair, but we stilll have work to do,” Treasury Secretary Tim Geithner More than 600 banks received a tota of nearly $200 billion through the department’as Capital Purchase Program. About $2 billio of this money was paidback previously.
Under the program, banks that repayt their preferred stock can repurchase the warrants that the TreasurtDepartment holds. Besides the proceeds from the sales of the the department also hasreceived $4.5 billio n in dividend payments from program Proceeds from the repayments to go the Treasury Department’s general fund. They can be used to reducew the national debt and can serve as a cushion in case the departmen needs to respond to financia l emergencies inthe future, the departmenf said. The Wall Street Journak reported the list of financial institutions will include JPMorganChas & Co. (NYSE: JPM), Americanh Express Co.
(NYSE: AXP), Bank of New York Mellon (NYSE: BK), Capital One Financial Corp. COF) and Goldman Sachs Group Inc. GS). Some banks have been raising funds afterd the stress tests revealed they needed to boost includingsome Nashville-area banks. The in earlyt May released the results from its stress The regulatory tests were designed to project howthe country’a 19 largest banks would perform under a varieth of economic scenarios by the end of 2010. • -- $33.9 billion • . -- No need The • • -- $5.5 billion -- $1.1 billion • -- $11.
5 billion • •