Thacher Proffitt Announces Publication of “Treasury Announces Capital Purchase Program for Domestic Banking Institutions”

NEW YORK--(BUSINESS WIRE)--Thacher Proffitt & Wood LLP announced today the publication of “Treasury Announces Capital Purchase Program for Domestic Banking Institutions,” authored by partners, W. Edward Bright and Stephanie G. Nygard and associate, Yuta N. Delarck.

“Treasury Announces Capital Purchase Program for Domestic Banking Institutions”

On October 14, 2008, the U.S. Treasury announced a voluntary Capital Purchase Program under which the Treasury will make up to $250 billion in equity capital available to qualifying financial institutions to help restore confidence and stability in the U.S. financial markets. The program will be available only to “qualifying financial institutions,” which generally include U.S. controlled banks, savings associations, and certain bank and savings and loan holding companies engaged only in financial activities. The Treasury will determine specific eligibility and allocations for an interested financial institution after consultation with the appropriate federal banking agency.

Nine large institutions have already agreed to participate in the program and will receive an aggregate of $125 billion under the program. The remaining $125 billion program is available to other qualifying financial institutions, with the approval of their primary federal regulator, only through November 14, 2008. Accordingly, qualifying financial institutions must act quickly to evaluate the program and determine whether to participate.

Useful Resources

• “Treasury Announces Capital Purchase Program for Domestic Banking Institutions” (October 15, 2008)
• Learn about the authors: W. Edward Bright, Stephanie G. Nygard and Yuta N. Delarck
• “Emergency Economic Stabilization Act of 2008 - Implications for Banking Institutions” (October 10, 2008)
• “Summary and Analysis of the Troubled Asset Relief Program” (October 7, 2008)

About Thacher Proffitt & Wood LLP

Founded in 1848, Thacher Proffitt has more than 200 lawyers in four locations - New York, NY, Washington, DC, White Plains, NY, and Summit, NJ. We advise clients domestically and internationally on a range of matters involving: banking, bankruptcy, compensation and benefits, corporate and securities, derivatives and structured products, distressed assets, environmental and green issues, insurance and reinsurance, international, investment management, litigation and dispute resolution (including subprime), real estate, secured commercial lending, structured finance, tax, technology and intellectual property, and trusts and estates. Learn more about our creative legal solutions at www.tpw.com, including our industry awards and rankings.