Financial Biz Cheat Sheet: U.S. Treasury Selling SunTrust Shares, ING Drops Italian Debt
Moody’s maintained its rating on Citigroup’s (NYSE:C) stand-alone credit profile, but downgraded the holding company’s short-term rating from Prime-1 to Prime-2. Moody’s also cut Wells Fargo’s (NYSE:WFC) rating from A1 to A2, expecting less likelihood of government support should things get rough again. For that same reason, Moody’s also downgraded Bank of America (NYSE:BAC) from A2 to Baa1.
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The U.S. Treasury has announced an offering for warrants to purchase shares in SunTrust (NYSE:STI), one of the many lenders bailed out through TARP.
CreXus (NYSE:CXS) has declared a $0.30 dividend to shareholders, pushing up the yield on the REIT to 13.5%. The news has the stock trading up more than 6% this afternoon.
Lloyd’s of London is pulling bank deposits out of EU countries amid concern that, if the governments are at risk of default, they might take the banks down with them.
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ING (NYSE:ING) has announced that it has substantially cut its holdings of Italian debt in hopes of placating investors nervous about the firm’s exposure to the European sovereign debt crisis. ING maintains that its funding position remains strong.