Items Tagged with 'Capital Assistance Program'


  • TARP Capital Purchases Spike Since Last Week

    The U.S. Treasury Department purchased $1.45 billion in preferred stock from 19 banks and financial institutions in states across the country Friday. According to data released Monday by the Treasury, the weekly injections through the Capital Purchase Program (CPP) increased five-fold over the previous week's $284.7 million. The substantial increase in capital funds distributed was driven by a $1.22 billion stock purchase from Discover Financial Services [stock DFS][/stock].
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  • TARP Buys Another $395 Million Through Capital Program

    The Treasury Department on Tuesday announced details on capital investments in another 28 financial institutions -- 24 of which are privately-held -- on Feb. 27. So far, the Treasury has purchased $196.76 billion in preferred stock through the Troubled Asset Relief Program in an attempt to shore up financial institutions and unclog credit markets. Of the $394.9 million invested Friday, 47.3 percent was given to publicly-traded firms, while the majority -- 52.7 percent -- was invested in privately-held firms.
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  • Feds Begin 'Stress Tests'; New Capital Injection Plan Rolls Out

    The Treasury Department late Wednesday released details surrounding a "core element" of President Barack Obama's financial stability initiatives. The Capital Assistance Program (CAP) will use the results of "economic assessments" of major banks to determine whether "an additional capital buffer is warranted," at which time banks would be able to seek private sources of capital before receiving additional government aid.
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  • Treasury Calls For Details on Bank Lending

    Under pressure to report more clarity and oversight in implementing the Troubled Asset Relief Program and the use of TARP funds given to financial institutions, the Treasury Department is apparently going after banks now with letters written by interim assistant secretary Neel Kashkari asking for figures on business and consumer loans, according to a story Tuesday by Bloomberg.
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  • Paulson Defends TARP Strategy, as Lawmakers Consider New Limits

    U.S. Treasury Secretary Henry Paulson, amid fire from lawmakers and other critics, continued Thursday to defend the Troubled Asset Relief Program and its new focus of injecting capital into banks and insurers as "necessary steps to prevent a financial collapse." "Although we are not proceeding with direct asset purchase programs, we plan on using our resources aggressively to support the normalization of credit markets and the expansion of credit to support economic recovery," Paulson said Thursday.
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