Bank of America announced that it was ready to repay the $45 billion it received in government bail-out money, which it will finance by selling $18.8 billion in securities and tapping $26.2 billion of “excess liquidity”. The bank had to demonstrate to the Treasury that it was stable enough to obtain investment through the markets. By exiting the Troubled Asset Relief Programme, BofA will be free of many of the restrictions imposed on it, including on executive pay, which is said to be hampering the bank from appointing a successor to the outgoing chief executive, Kenneth Lewis.
Directors at the Royal Bank of Scotland threatened to resign if the British Treasury prevented them from paying £1.5 billion ($2.5 billion) in bonuses at its investment-banking unit. Some British bankers have stepped up their criticism of what they say is overbearing government influence in matters of pay and compensation.
http://www.economist.com/displaystory.cfm?story_id=15037800
My Thoughts: I think it is about time that Bank Of America stepped up and is starting to pay their bailout money back. They really need to step it up even more if they want to survive because I really do not think that the governmment will bail them out again. They are definately figuring things out though and that's good.
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