March 26, 2009
Authored by: Bryan Cave Leighton Paisner
On March 24, 2009, the Treasury announced the completion of the nineteenth round of TARP Capital infusions. The Treasury purchased a total of approximately $80.7 million in securities from 10 financial institutions on Friday, March 20, 2009, and has now invested in 520 institutions, totaling approximately $198.5 billion.
Heritage Oaks Bancorp, which was the only public institution to receive funds this round, received the largest infusion, $21 million. Farmers & Merchants Financial Corporation, Argonia, Kansas, received the smallest infusion: $442,000.
There are a couple of things to take immediate note of in this eighteenth round. First, this round marked the seventh consecutive round where less than 30 institutions received TARP Capital infusions. Second, the Treasury had never invested fewer than $280 million in any single round, yet in this round, the total amount invested was only $80.7 million — roughly $200 million less than the previous low. We noted in a previous post, that it is unclear what is contributing to or causing this diminishing number of TARP closings, but given the recent trend in fewer closings, it is clear that something is changing. We hope to provide some insight or commentary shortly.
Click here to view our updated TARP Map.
Click here to view our updated list of TARP Capital recipients and a description of our methodology in compiling the list.