BofA Repays TARP Loan

Call off the repo men: Bank of America reported today that it has now repaid its TARP loans in full, having cut a check to the government for the full $45 billion owed. The bank, which is the United States' biggest lender, said that it funded the repayment in part by selling almost $20 billion in securities, an action still subject to stockholder approval. Once the loan has been repaid, BofA will no longer be under the close scrutiny of the federal government—in particular, the watchful eye of "pay czar" Kenneth Feinberg, whose oversight has prevented the company from offering extravagant bonuses to its executives, a factor, some have said, that contributes to the bank's struggle to find a successor to departing CEO Ken Lewis. It's not all good news, though: The payment, according to the company, will cut $4.1 billion off its fourth-quarter net result.