[Orange1998]

They refinanced the debt with the FED. Now they can go back with business as usual ie: huge bonuses, little oversight.

[org.whodat]

I knew this engineered pay back stuff was 99.99% bogus. Has anyone of the really written a check on funds not borrowed.

[FromLori]

Screwed us taxpayers over royally. Whether you like Taiibi or not he did have good points about obama with the bankers.

http://www.rollingstone.com/politics/story/31234647/obamas_big_sellout

http://www.opensecrets.org/pres08/contrib.php?cycle=2008&cid=N00009638

[FromLori]

Another thing remember the AIG debacle on the bonus’s well AIG wins again we pick up the tab again

http://www.bloomberg.com/apps/news?pid=20601110&sid=aUEmHkEXYWMg

[Toddsterpatriot]

Not if you thought the control and pay restrictions TARP provided were a good thing.

When has government control been a good thing?

[FromLori]

Another scam since government sachs got the money from AIG

http://www.economicpolicyjournal.com/2009/12/goldman-sachs-equity-bonus-scam.html

[JasonC]

Now to destroy the actual lie.

6 months ago, the Fed sheet of April 9 showed the following direct support to the banking system -

Term auction credit - $467.3 billion
Asset backed securities loans - $250.6 billion
Discount window loans - $49.2 billion
Total direct bank support - $767.1 billion

As of today, specifically the December 10 statement, the level of support for the banks is -

Term auction credit - $85.8 billion
Asset backed securities loans - $44 billion
Discount window loans - $19.4 billion
Total direct bank support - $149.2 billion

Net repayment - $617.9 billion

The banks are repaying their Fed loans with a fire hose. They are not borrowing from the Fed to repay the treasury; they have repaid the Fed 4-5 times more than they've repaid the treasury.

There is a huge positive cash flow in the direction of the banks. They are reducing the size of their own balance sheets, letting loans run off into cash without renewing all of them (their corporate clients are paying down debt, too, and refinacing short term bank loans based on prime rate for corporate bond offerings), and raising new capital in long term debt, preferred, and common stock offerings on the strength of improved financial markets.

[bert]

Why is that a problem?

[VOA]

bump

[javachip]

To make up the difference, it borrowed $26 billion of new funds from the Fed (at a subsidized rate, no less).

Blodget offers no evidence to support this statement. All reports of the BAC buyback indicated the money would come from an $18 billion capital raise (which raised over $19 billion) and cash on hand.

Here's a quote from the BAC press release announcing repayment,
Bank of America plans to repay the $45 billion in TARP funds using $26.2 billion in excess liquidity and $18.8 billion in proceeds from the sale of "common equivalent securities."
[emphasis added]

If Mr. Blodget has evidence that BAC lied in that press release, he should present it to the SEC for action. If not, he should stick to facts or at least let readers know when he's making things up.