| Page 2 of 2 < |
Britain Set to Take Over Ailing Banks RBS, HBOS, Sources Say
|
TOOLBOX
   Resize
COMMENT
 Discussion Policy
 CLOSE
Comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site. Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. Finally, we will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site. Please review the full rules governing commentaries and discussions. You are fully responsible for the content that you post.
Who's Blogging  |
The British Treasury will outline details of a plan Monday to guarantee about $426 billion of interbank loans though an insurance system.
Brown yesterday stuck to the government's estimate last week of the size of the planned state capital injection.
"We estimate that the sums required are in the order of 50 billion" pounds, Brown said. The rescue will be "a major contribution to capitalizing the banking system so that it has the strength to deal with the problems ahead."
RBS will seek to raise about $34 billion, including about $26 billion of ordinary shares, in a deal which will bring the government's stake above 50 percent, one of the people said.
Royal Bank of Scotland chief executive Fred Goodwin plans to step down, two people familiar with the matter said yesterday.
The total needed under the government plan for four banks seeking funds may be about 37 billion pounds, the Financial Times said on its Web site yesterday.
Washington Post staff writer Binyamin Appelbaum contributed to this report.
