BB&T, Chase and others repay TARP - Jacksonville Business Journal:

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billion to the U.S. Treasury to buy back the preferre shares it sold to the federal governmentt last fall as part of the Troublef AssetRelief Program, or TARP. BB&T was amontg a group of ten large banks that received permission to exit that progranm earlierthis month. That part of TARP was designed to injecr capital into healthy banks around the country as otherd sources of money dried up in thecredit crisis. BB&T paid a total of $92.7 millio in dividend payments to the federal governmentt for the use ofthe funding.
CEO Kelly King said the investmentgin BB&T worked out well for the “Our strong capital position allowed us to pay back TARP in a very shor t amount of time,” King “But what’s important today is that we’ve repaid the and now we have a singular focus on the businesss of serving our clients.” The N.C.-based BB&T really didn’t want to join the federap program in the first place, chairman and formefr CEO John Allison said in a speech to the Competitivs Enterprise Institute last Allison described TARP and the pressure bankse were under to take part as “wa huge rip-off for according to report in the Wall Street Journal.
and also repaifd TARP funds on Wednesday. Minneapolis-based U.S. Bank USB) was returning $6.6 billion and New York-base JPMorgan Chase (NYSE: JPM) was giving back $10 U.S. Bank had previouslty announced its plans to redeem the preferred stock issued to the and last week it received approvalo from the government todo so. U.S. Bank also told the Treasuryh it intends to repurchasethe 10-yearr warrant it had issued along with the preferred “The redemption allows our company to return to operating from a positio of both independent strength and strategic said Richard Davis, U.S. Bank president, CEO and in a statement. The Treasury in May announcedd U.S.
Bank passed its stress which showed it would be able to ride out the economixc downturn without having to raisemore capital. David has been an outspoken critic ofthe government’s capitalo purchase program. In February he callesd the program “lousy” and said the bankinfg industry was pressuredto participate. Otherr banks expected to refund TARP money Wednesda yinclude , and .