WASHINGTON – Today,
the U.S. Department of the Treasury announced that Regions Financial
Corporation has repurchased its outstanding $3.5 billion in Troubled Asset
Relief Program (TARP) Capital Purchase Program (CPP) preferred stock.
With today’s repayment, the overall
positive return from TARP’s bank programs has now reached $18 billion. Treasury
invested a total of $245 billion through TARP’s bank programs and has recovered
$263 billion to date through repayments, dividends, interest, and other income.
Going forward, each additional dollar recovered through TARP’s bank programs
represents an additional dollar of profit from those programs for taxpayers.
“This repayment is another
milestone in our efforts to wind down TARP and provides an additional profit
for taxpayers on the program’s investment in banks,” said Assistant Secretary
for Financial Stability Tim Massad. “Replacing temporary government support
with private capital is an important component of continuing to restore
In addition to today’s $3.5 billion
repayment, Regions Financial has also paid taxpayers $593 million in dividends
over the life of its TARP investment. Treasury continues to holds warrants to
purchase common stock in Regions Financial – the disposition of which will
provide an additional positive return to taxpayers.
To date, taxpayers have already
recovered 81 percent ($337 billion) of the total funds disbursed across all
TARP programs ($415 billion) through repayments, dividends, interest, and other
income. For more details on Treasury’s lifetime cost estimates for TARP
programs, please visit Treasury’s Monthly 105(a) Report to Congress on TARP at