The Bank of New York Mellon, the global leader in asset management and securities servicing, yesterday said it is among the first large banks to receive permission to repurchase the preferred stock purchased by the United States Government last October as part of the Troubled Asset Relief Programme (Tarp) capital investment programme.
"This news will be welcomed by our clients around the world as well as by American taxpayers, who have realised a very good return on their investment in our company. We appreciate the support that the US Government provided to our industry and the overall economy at a critical time," said Robert P Kelly, Chairman and CEO of The Bank of New York Mellon.
The Bank of New York Mellon has raised $2.9 billion (Dh10.6bn) towards the repurchase of the $3bn Tarp capital investment in the company through a $1.5bn non-guaranteed five-year and 10-year senior debt offering and the sale of $1.4bn in new common stock to the public. The company's announcement that it will repurchase the preferred stock coincides with the June 9 anniversary of its founding.
"As the oldest bank in the United States, our company has a remarkable and unique history of innovation and change, supported by our continued financial strength and stability," Kelly added.
"It is fitting that during this anniversary year, our firm has continued to play a critical and stabilising role in the global economy.
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