$1.7 Billion Additional TARP Funds Returned to Taxpayers, Positive Return on TARP Bank Programs Reaches $10 Billion

WASHINGTON – The U.S. Department of the Treasury announced that all of the Troubled Asset Relief Fund (TARP) funds invested in Marshall and Ilsley Corporation (“M&I Bank”) of Milwaukee, Wisconsin have been returned to taxpayers. Today, in connection with its acquisition of M&I Bank, Bank of Montreal (BMO) purchased Capital Purchase Program (CPP) preferred shares totaling $1.7 billion and a related warrant that had been issued to Treasury by M&I Bank and paid accrued dividends on those preferred shares.

In March, Treasury announced that the TARP bank programs turned a profit. Since that time, all further repayments and income through TARP’s bank programs, such as the payment announced today, provide additional positive returns for taxpayers.

With today’s proceeds, taxpayers have now recovered approximately $255 billion from TARP’s bank programs through repayments, dividends, interest, and other income. That exceeds the original financial support Treasury made through those programs ($245 billion) by approximately $10 billion. Treasury currently estimates that bank programs within TARP will ultimately provide a lifetime positive return of approximately $20 billion to taxpayers.

Further details on today’s TARP repayment are included below:

•M&I Bank (Milwaukee, Wisconsin): BMO purchased CPP preferred shares totaling $1.7 billion, purchased warrants to purchase common stock in M&I Bank for $3.3 million and paid accrued dividends totaling $11.9 million. (Total Proceeds Today for Taxpayers: $1.7 billion)

Further information on total payments and other income for taxpayers from TARP’s $1.7 billion preferred share purchase in M&I Bank are included below:

M&I Bank TARP Payments and Income Summary ($ in millions)
Preferred Share Purchase (7/5/11)	$1,715.0
Final Dividend Payment (7/5/11)	$11.9
Warrant Purchase (7/5/11)	$3.3
Previous Dividend Payments (N/A)	$214.6
Total Lifetime Taxpayer Proceeds	$1,944.8
Original Preferred Share Purchase by Treasury	$1,715.0
Positive Return from Taxpayer Proceeds	$229.8