New York Private Bank & Trust, the parent company of Emigrant Bank, has fully repaid its Troubled Asset Relief Program funds.
The $7 billion-asset company paid $283 million for all of its Tarp shares and the dividends accrued this year, it said Wednesday. New York Private issued the Treasury Department $267 million of preferred shares in January 2009 through Tarp.
Banks that hold Tarp funds for more than five years face a
The bank had paid $13.5 million in dividends each year, and a collective $65 million. The 9% dividend would have cost the company more than $25 million annually.
As a result of the payment, New York Private will have a capital ratio of 15.5%, and Emigrant will have a capital ratio of 14.5%.
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