Feds reach milestone with TARP repayments surpassing debts
In its monthly Troubled Asset Relief Program report to Congress, the U.S. Department of the Treasury announced that TARP repayments to taxpayers have, for the first time, surpassed the total amount of TARP funds outstanding.
The department’s report showed that, through the end of the May, TARP repayments had reached a total of $194 billion, which exceeded the total amount of TARP funds outstanding ($190 billion) by $4 billion.
“TARP repayments have continued to exceed expectations, substantially reducing the projected cost of this program to taxpayers,” said assistant secretary for financial stability Herb Allison. “This milestone is further evidence that TARP is achieving its intended objectives: stabilizing our financial system and laying the groundwork for economic recovery.”
The milestone was reached when the department completed its sale of 1.5 billion shares of Citigroup - a transaction that provided gross proceeds of $6.18 billion to taxpayers.
In addition to the $194 billion in TARP repayments, the report also showed that taxpayers also have received a further return on TARP investments of $23 billion through dividends, interest, and other income. Overall, combined TARP revenues (repayments and other income) totaled $217 billion through the end of May.
In May, the Treasury notified Congress that the projected lifetime cost of TARP has decreased by $11.4 billion to $105.4 billion since the fiscal year budget was first proposed.
How easy they forget, but we were in CRISIS mode way back when. And these people will never read this good news on their favorite news (sic) website.