Container Top
Search

Events Calendar

EVENT SEARCH:

In This Section


Most Read Stories


Blogs:


Akron Docs in Haiti:
Almost home

First Bell - On Education:
21st Century Skills and Akron’s new middle school

Pets:
Lost Mini Schnauzer around Cascade Valley Park

The Heldenfiles:
Fess Parker, R.I.P.

Akron Zips:
Looking back on the season

Tribe Matters:
Seven prospects reassigned to minor-league camp

Cleveland Browns:
Yates latest to re-sign

Balanced Ledger:
How times have changed?

Kent State Sports:
Kent State gears up for WNIT at Michigan

Cleveland Cavaliers:
Gameblog: Cavs at Chicago Bulls (Green Mascot and All)

Buckeye Blogging:
Bucks High Seed – Turner High Praise

Varsity Letters:
Report: Ohio offers Olack

All Da King's Men:
ObamaCare To Reduce Premiums By 3000% ?

Blog of Mass Destruction:
Pathetic GOP Nullification Attempts

Akron Law Café:
Health Care Financing Reform: (110) CBO and JCT Reports on Reconciliation Bill, H.R. 4872

Car Chase:
2010 CONCOURS SEASON IS UPON US

Let's Talk Real Estate:
Deals in Miami?!.

Sound Check:
Willie Nelson & Family coming to the Akron Civic Theatre May 11

See Jane Style:
Who Wore What – The Oscars

HRLite House:
Horses of Courses

Akron Gamer:
Video: Gamers expected to 'reach' for new 'Halo'

KeyCorp fulfills $1.8 billion stress test requirement

By Linda Shen
Bloomberg News

POSTED: 05:28 p.m. EDT, Jul 01, 2009

KeyCorp, Ohio's second-largest bank, raised an additional $1.8 billion as required by a government stress test.

The bank exchanged common shares for preferred stock, generating $540 million in addition to $1.3 billion previously raised by the Cleveland-based bank, KeyCorp said in a statement. Combined, KeyCorp has now ''complied with the requirements'' of the government test, the bank said.

KeyCorp was among 19 of the largest U.S. lenders to undergo a government stress test examining their ability to survive a deeper, more prolonged recession. Results released May 7 indicated KeyCorp might suffer losses of as much as $6.7 billion through 2010, and required the bank to raise another $1.8 billion as a cushion.

The bank last month sold $1 billion in common shares after increasing the sale from $750 million. KeyCorp, which accepted $2.5 billion from the government's Troubled Asset Relief Program, wants to redeem the U.S. Treasury's investment ''as promptly as possible,'' Chief Executive Officer Henry Meyer said in June.

KeyCorp shares closed down 8 cents to $5.16 on Wednesday. Shares are down 55 percent from a year ago and down 39 percent in 2009.

KeyCorp is scheduled to issue its quarterly financial report June 22.

KeyCorp, Ohio's second-largest bank, raised an additional $1.8 billion as required by a government stress test.

The bank exchanged common shares for preferred stock, generating $540 million in addition to $1.3 billion previously raised by the Cleveland-based bank, KeyCorp said in a statement. Combined, KeyCorp has now ''complied with the requirements'' of the government test, the bank said.

KeyCorp was among 19 of the largest U.S. lenders to undergo a government stress test examining their ability to survive a deeper, more prolonged recession. Results released May 7 indicated KeyCorp might suffer losses of as much as $6.7 billion through 2010, and required the bank to raise another $1.8 billion as a cushion.

The bank last month sold $1 billion in common shares after increasing the sale from $750 million. KeyCorp, which accepted $2.5 billion from the government's Troubled Asset Relief Program, wants to redeem the U.S. Treasury's investment ''as promptly as possible,'' Chief Executive Officer Henry Meyer said in June.

KeyCorp shares closed down 8 cents to $5.16 on Wednesday. Shares are down 55 percent from a year ago and down 39 percent in 2009.

KeyCorp is scheduled to issue its quarterly financial report June 22.




Story tools

Email  Email   Print  Print   Save  Save   Reprint  Reprint   Popular  Most Popular   Reprint  Subscribe

Share this story

AddThis Social Bookmark Button













Most Commented Stories