Click me
Transcribed

Keeping Tabs on the $700 Billion Bailout

The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated First Niagara Finencial Group $0. 184 Banc-Conp TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Northerm Webeter Toust $16 Tayler Capital S0. 106 Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers. as fast as any of us would like," but has said that loans will begin to flow as confidence returns. Some analysts agree. "In a few quarters, banks should be comfortable enough to begin to put that new capital to work," said Mark Fitzgibbon, a banking analyst at Sandler O'Neill & Partners. APPROVED BY CONGRESS NOT YET APPROVED $350 billion $350 billion But the Treasury has indicated that the 52 banks already funded by the program have mostly used their investments- $161.5 billion so far – to bolster their balance sheets at a time when options for raising capital are slim. And analysts expect that the more than 100 banks that have yet to receive money will be similarly cautious. A.I.G. Other committed Money allocated $161.5 Uncommitted $365 Pending $108.5 $40 $25 But regulators will have to keep a watchful eye on banks, say officials in the Government Accountability Office. In a report released on Thursday, the office urged the Treasury to increase its oversight of the program, as banks are not currently required to report on their use of government dollars. Includes $15 billion that has been approved by Congress Amounts in bold are shown on map below Treasury Secretary Henry M. Paulson Jr. has acknowledged that "lending won't materialize Companies that have received or expect to receive Treasury money Circles sized by expected investment, in billions Black outlines show banks that were required to accept financing Cascade Financial S0.039 Washington Federal Heritage Finanaial S0.024 LARGEST NEW YORK-BASED APPLICANTS $0.2 Labeled companies have received funds, according to the Treasury Columbia Utmpqua Holdings $0.214 Banking System Banner $0.077 so 124 U.S. Bancorp $6.6 Boston Private e Financial Holdings $0. 154 CEigroup $50 billion Associated Banc-Conp sỐ 525 First Niagara Finencial Group $0. 184 TCF Financial $0.361 Vallev National Banooro sols Sfate Street $2 Bank of Commerce Marshall & leley $1.7 AI.G. Holdings $0.017 HF Financial So3 S40 KeyGorp $2.5 S0.025 Wells Fargo $25 bilion Noen Toust $16 Tayler Capital S0. 106 Webeter Zions Bancorp $14 Cepital l JPMorgen Chese $25 Finantial UCBH Hokdings $0.299 $04 Huritngton $1.4 One $3.6 Seven Heritage Commerce $0.040 కరీ Frovident Porter Bancorp $0.035 Nara Western Allanoe Bancorporation S0 140 $0, 152 Banoorp S0.067 BBAT 531 Morgan Starley $10 SunTrust $3.5 Menil Lynch S10 Goldman Sachs $10 Frst Community Firstidorizon National e $0.867 Bancahares $0.042 teFrancial rsl Bank of America $15 Pacilic Capital Bancorp SO. 181 First PacTrust Bancorp First Services oommunity Bank of Now York Melon $3 $0.019 Fiegions Financial $35 $0 016 S0.011 City National Comerica $23 Trustmerk $0.215 $0.4 Broachway Financial $0.009 Ameris Banoorp 30.052 APPLICANTS OUTSIDE THE FINANCIAL INDUSTRY CanterState Banks of Florida $0.020 Figures as of Dec. 5. U.S. municpalties $50 billion The Biggest Nine On Oct. 14, the Treasury required nine financial firms to accept a total of $125 billion. This kicked off the first half of the Treasury's $250 billion recapitalization program. The government also chose to invest $40 billion in the insurance giant A.I.G. in early November. The Bank Tally Insurers and Others Jump In Outsiders Wait More than 160 banks have voluntarily applied for the program's remaining money. A third to a half have received money. But some applicants, like HopFed Bancorp in Kentucky, are weighing the drawbacks of participa- tion, like limits on dividend payments, stock buyback programs and executive compensation. The Treasury has allowed nonbanks to apply for money. Insurers like The Hartford, Protective Life and Lincoln National, as well as the credit card company American Express, have chosen this path, but none have received financing yet. Philadelphia, Atlanta and Phoenix asked the Treasury in November to provide $50 billion to help cities throughout the country. The Treasury has agreed to discuss the plan later this month. G.M., Ford and Chrysler offered plans to Congress last week for $34 billion in loans. US. automalers $34 Olmeted Falle. Ohio school "Under other programs, the government has invested $53 billion in A.I.G. and has provided the company with s60 billion in loans. district, $0.1 Sources: Treasury: companies; Bioomberg: Sandler O'Neil & Partners; American Bankers Association THE NEW YORK TIMES

Keeping Tabs on the $700 Billion Bailout

shared by youcom on Oct 12
494 views
0 shares
0 comments
The Treasury Department's $700 billion buttress to the financial system was expected to enable banks to make more loans to companies and consumers.

Source

Unknown. Add a source

Category

Economy
Did you work on this visual? Claim credit!

Get a Quote

Embed Code

For hosted site:

Click the code to copy

For wordpress.com:

Click the code to copy
Customize size