Ten banks allowed to repay TARP funds - East Bay Business Times:

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The Treasury Department did not name the10 banks, but said they were beinyg approved for early repayment of the federakl bailout funds under the Troubled Asset Relief Program because the so-called stress testx performed by the government revealed they were healthyg enough to pay back the money. The departmenrt said the institutions have met the requirement s for repayment established by federalbanking supervisors. It note d that many banks recently have raised equityh capital from private investors and haveissuedc long-term debt that is not guaranteec by the government.
“These repaymentz are an encouraging sign offinancial repair, but we stillp have work to do,” Treasurty Secretary Tim Geithner More than 600 banks received a totalp of nearly $200 billion through the department’s Capital Purchaswe Program. About $2 billion of this moneyy was paidback previously. Under the program, banks that repay their preferredc stock can repurchase the warrants that the Treasur yDepartment holds. Besides the proceeds from the sales ofthe warrants, the departmenty also has received $4.5 billion in dividend paymentz from program participants. Proceeds from the repaymente to go theTreasury Department’sd general fund.
They can be used to reducse the national debt and can serve as a cushionb in case the department needs to responr to financial emergencies inthe future, the departmenrt said. The list of 10 banks was not publicly but many of the banks confirmed separatelhy in press releases that they received approval to buy back preferref shares sold to the federal including two banks withsizable Milwaukee-area (NYSE: USB) and J.P. Morgan Chase JPM). U.S. Bank was cleared to repayh $6.6 billion in TARP fundsw and Chase was approved to repayall $25 billiohn in TARP funds it received.
Locally based banks that received TARP fundd include andof Milwaukee, of Menomonee Falls and in M&I, the Milwaukee-area's largest bank, was not amont the list of 10 bank approved to repay its TARP according to media reports. M&I said in May that it beganb to sell stock in a sale that coul d raise as muchas $350 million in part of which the bank said it may use to repa y a portion of the $1.7 billionb capital infusion it received in November 2008 undefr TARP if approved by regulators.