Another banking company plans to exit the Troubled Asset Relief Program after 1st Source Corp. of South Bend, Ind., said it received approval to repurchase preferred shares it issued two years ago.
The $4.5 billion-asset company will buy back 111,000 shares by yearend for $111.7 million, according to a Dec. 23 filing with the Securities and Exchange Commission. The company is deciding whether to buy back warrants equal to 3.3% of its common stock.
"We are pleased that the economy is slowly improving and that we never needed to rely on the investment from the Treasury Department," Christopher Murphy 3rd, the company's chairman, said in a press release.
A number of other banking companies, including Huntington Bancshares Inc. in Columbus, Ohio; First Horizon National Corp. in Memphis, Tenn.; and Wintrust Financial Corp. in Lake Forest, Ill., have also been in the process of getting out of Tarp.