(Source: Business Wire)
U.S. Bancorp (NYSE:USB) announced today that it has redeemed the $6.6 billion of preferred stock issued to the Treasury under the Capital Purchase Program of the Emergency Economic Stabilization Act of 2008. Also with this transaction, U.S. Bancorp will give notice to the Treasury of its intent to repurchase the 10-year warrant issued in conjunction with the preferred stock.
"Today's repayment of the TARP funds is a significant step forward," said Richard K. Davis, chairman, president and chief executive officer of U.S. Bancorp. "The redemption allows our company to return to operating from a position of both independent strength and strategic flexibility. We look forward to continuing to serve our customers, support our communities, engage our employees, and create value for our shareholders, while assisting the government in its on-going economic recovery efforts. I would also like to take this opportunity to thank the U.S. taxpayers for their support of our company during the height of uncertainty in the financial markets."
U.S. Bancorp, with $264 billion in assets, is the parent company of U.S. Bank, the 6th largest commercial bank in the United States. The company operates 2,847 banking offices and 5,183 ATMs, and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. Visit U.S. Bancorp on the web at www.usbank.com.
Forward-Looking Statements
This press release contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including statements about beliefs and expectations, are forward-looking statements. The forward-looking statements in this press release cover, among other things, anticipated future revenue and expenses and the future plans and prospects of U.S. Bancorp. All forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated.
Anticipated results may be affected by a continuation of the recent turbulence in the global financial markets, particularly if it worsens, could impact our performance, both directly by affecting our revenues and the value of our assets and liabilities, and indirectly by affecting our counterparties and the economy generally. Dramatic declines in the housing market in the past year have resulted in significant write-downs of asset values by financial institutions.
