We should get a better idea this week how the Treasury and banks will value those equity warrants issued to the government as part of the Troubled Asset Relief Program (TARP). Some experts have already put the pencil to the paper and figure that based on four earlier deals, the Treasury is getting underpaid for those warrants. One of our award-winning “In The Money” columnists, Steven D. Jones, interviewed Linus Wilson, an associate professor of finance at the University of Louisiana who estimates the Treasury sold back four warrants over the past month to issuing banks at 66% of fair value.
Linus Wilson
Posted by Rick Stine
on June 08, 2009
Bank Rescue Plan, Banks, Wall Street, Washington / Comments Off
Bank Rescue Plan, Banks, Wall Street, Washington / Comments Off
