Severn Bancorp in Annapolis, Md., has partially redeemed outstanding shares tied to the Troubled Asset Relief Program.
The $763 million-asset company said in a press release Friday that it paid $10 million to private investors to redeem 10,000 shares of preferred stock it sold to the Treasury Department in 2008. More than 13,000 shares remain outstanding, carrying a 9% dividend rate.
Severn also said it had paid interest on the preferred stock, addressing interest it had deferred for 16 quarters.
