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Old 01-27-2011, 08:54 AM   #1
GuitarLoverBe

Join Date
Oct 2005
Posts
426
Senior Member
Default TARP Profit on Citigroup: $12.3 Billion
If GM books a couple of strong quarters, we can get close to a break-even there.

WSJ: http://online.wsj.com/article/SB1000...googlenews_wsj

The U.S. is set to record a net $312.2 million from its sale of its final 465.1 million warrants to purchase common shares of Citigroup Inc., the Treasury Department said Wednesday.

The sale of the warrants, expected to close Monday, will allow the government to dispose of the remaining stake in Citigroup obtained through the Troubled Asset Relief Program, or TARP.

Overall, taxpayers are expected to end up with a $12.3 billion profit on the government's $45 billion investment in the company during the 2008 financial-sector bailout. Last year, Treasury sold its 34% stake of common shares of Citigroup.

...

Last month, Treasury trimmed its estimate for how much the $700 billion TARP will end up costing taxpayers by about $1 billion to $28 billion, with estimated gains from its investments in banks and American International Group Inc. expected to partially offset losses in its foreclosure prevention programs. The nonpartisan Congressional Budget Office has put that figure at about $25 billion.
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