Geithner Signals Banks May Repay Bailout Funds
Geithner told Congress that most banks have enough capital and could repay bailout funds with regulator approval. Markets recovered after a Monday sell-off, with the Dow rising 128 points following a 290 point drop as stress tests loom.
Geithner says banks remain in distress amid bailout scrutiny
Treasury Secretary Geithner told a congressional oversight panel that U S banks are still broken despite the 700 billion TARP program and a bleak forecast of up to 2 7 trillion in losses across banks and financial firms. He said evidence is mixed and Congress remains wary as stress tests proceed.
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Chrysler lenders propose swap to gain equity stake
Banks and hedge funds holding 6.9 billion in Chrysler debt offer forgiving 2.5 billion in exchange for about a 40 percent stake in the automaker. The counterproposal targets a 35 percent debt-for-equity swap to satisfy government restructuring goals before the April 30 deadline.
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