Banks--- Betting on the recovery Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Banks--- Betting on the recovery

WFC 87.18

+1.1%

12:40 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: tejek	3/25/2010 11:30:32 AM
	of 1428

Citigroup Stock Jumps as U.S. Eyes Exit NEW YORK (TheStreet) -- Citigroup (C) shares were advancing more than 3% as the markets opened on news that the U.S. Treasury was planning to begin selling its one-third stake in the company in a pre-set trading program. Bloomberg reported on Thursday that the plan would lock the Treasury into a pre-set schedule to unload its 27% stake in Citigroup. The Treasury's program would be similar to that of a 10b5-1 program, which is used by many executives and directors of public companies to buy and sell shares of a company at pre-arranged times without being at risk of insider trading. The plan could be announced as early as next month. The Bloombergarticle noted that Treasury would be able to "issue instructions on how many shares to sell, when to sell them and at what price, while eliminating concern that the sales are based on non-public information." Wall Street has been waiting for news that the Treasury would begin selling its Citigroup stake, particularly as its lock-up period expired on March 16. Observers say the government ownership is one reason why Citigroup's stock is stuck below $5. The U.S. government injected $45 billion into the struggling Citigroup in late 2008. Citigroup, in conjunction with a $17 billion equity offering in December, repurchased $20 billion worth of trust-preferred securities under the Troubled Asset Relief Program and terminated its loss-sharing agreement with the Treasury on some $300 billion of assets. Citigroup shares were rising 12 cents to $4.28. More than 206 million shares had already changed hands by 10:30. Separately Citigroup announced on Thursday that it would participate in the government's 2MP loan modification program, designed to help struggling borrowers with their second lien loans. It joins other large mortgage servicers JPMorgan Chase (JPM), Wells Fargo (WFC) and Bank of America (BAC) as participants in the program -- Written by Laurie Kulikowski in New York. thestreet.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next