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

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Minneapolis-based (NYSE: USB), parent of , said Tuesdagy that the Treasury approved its repayment ofall $6.6 billion in Troublefd Asset Relief Funds it had U.S. Bank ranks No. 4 on the Kansas City Business Journal ’s list of area banks, ranked by area market shard of deposits as ofJune 30, with 5.02 U.S. Bank also will repurchas e the 10-year warrant that had entitled the Treasury to buy shares of itscommon stock. The Treasury Departmenf also approved nine other repayment of theirTARP funds, accordingt to various media reports, but the agency didn’gt make public the list of banks.
The agency said the bankws had met the requirements for repayment establishexd by federalbanking supervisors. It noted that many bankx recently have raised equity capitapl from private investors and haveissued long-terj debt that is not guaranteed by the “These repayments are an encouraging sign of financiak repair, but we still have work to do,” Treasur y Secretary Tim Geithner said. More than 600 banks receiverd a total ofnearly $200 billionm through the department’s Capital Purchase Program. About $2 billionh of this money was paid back Throughthe program, banks that repay their preferred stocm can repurchase the warrants that the Treasury Department holds.
Besides the proceeds from the sales of the the department also hasreceived $4.5 billiomn in dividend payments from program Proceeds from the repayments go to the Treasury Department’xs general fund. They can be used to reduce the nationap debt and can serve as a cushion in case the department needsd to respond to financial emergencies inthe future, the department said.