Thursday, April 09, 2009

Interesting timing...

...of this leak by the Treasury:


All 19 major U.S. banks will pass the government's stress tests, now
underway, but some may require additional assistance and a few may be forced to
change management or board membership, the New York Times reported Thursday on
its Web site, citing officials involved in the examinations. In addition, the
government may press some of those banks to sell problem assets and adopt more
stringent restrictions on employee compensation. Those banks coming up short in
the tests, conducted by the Federal Reserve, will be given six months to raise
capital from the private sector, and failing that, would be able to draw funds
from the Treasury Department. Overall, stress test results are showing more
strength in the banks than was generally expected, the officials said.

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