The Hartford Finanical Services Group Inc. has paid $3.4 billion to the U.S. Treasury to repurchase preferred stock it issued under the department’s Capital Purchase Program.
The Hartford says it funded the repurchase with proceeds from its recent equity and debt offerings, as well as from available resources.
"We are pleased to complete our plan to return the U.S. Treasury's investment in The Hartford and appreciated the opportunity to participate in CPP and the support of the government and American taxpayers," The Hartford's Chairman, President and Chief Executive Officer Liam McGee said in a statement. "With the capital raise completed and the investment repaid, we are well positioned from both a capital and balance sheet perspective."
The U.S. Treasury continues to hold warrants to purchase approximately 52 million shares of The Hartford's common stock at an initial exercise price of $9.79 per share. The company says it does not intend to repurchase the warrants from the U.S. Treasury.
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