23 June 2009

Three Banks Halt TARP Dividend Payments

They don't have the cash to make dividend payments, so they are no longer making payments, though, under the terms of the TARP they have 20 quarters, or 5 years (!) to defer interest payments without technically being in default.

The banks in question are Pacific Capital Bancorp, Seacoast Banking Corp, and Midwest Banc Holdings.

According to a GAO report, there are 17 banks that did not pay dividends in May, but they did not list names, so there is no knowing who the other 14 institutions are.


Post a Comment