Bailout,UK: Banks Real Time News items

• EU may force UK to downsize Lloyds Banking Group - reportPosted:09/07/2009 11:05 GMT by NeedToKnowNews
  The UK's finance minister believes the European Commission may order a forced downsizing of Lloyds Banking Group, the FT reported.
  Chancellor of the Exchequer Alistair Darling is braced for the Commission to rule that Lloyds -- created in a government-backed merger of Lloyds TSB and HBOS -- must sell off assets.
  FT story here:
  http://www.ft.com/cms/s/0/af1ee49e-457a-11de-b6c8-00144feabdc0,s01=1.html?nclick_check=1
  
• Lloyds Banking Group confirms to tap market for GBP 4blnPosted:12/07/2009 4:28 GMT by NeedToKnowNews
  The funds will be used to pay back the Treasury's GBP 4bln stake, currently held in preference shares, Lloyds said.
• UK's Darling: Public may lose money on bailouts, bill could be GBP 60bln - FTPosted:10/07/2009 12:30 GMT by NeedToKnowNews
  Alistair Darling, the UK's finance minister, is set to admit this week that the taxpayer could foot the bill for up to GBP 60bln of losses impossible to recoup from the bailout of the UK banking sector, according to the FT. The newspaper said Darling will announce the taxpayer loss in the form of a provision in Wednesday's Budget statement. Full story here: http://www.ft.com/cms/s/0/bef5efb8-2d31-11de-8710-00144feabdc0.html  
• UK taxpayers funding RBS pension shortfall - reportPosted:13/07/2009 16:04 GMT by NeedToKnowNews
  More than GBP800mln of the taxpayer funds given to prevent RBS collapsing will be used to fill a pension shortfall, the Times reports. Full story here:  http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article5877790.ece
• At the weekend: UK takes majority stake in LloydsPosted:12/07/2009 2:04 GMT by NeedToKnowNews
  Lloyds Banking Group agreed a deal over the weekend that will see the government taking a 65% stake, or 77% once non-voting shares are included, up from 43% previously. In return for this equity the government will insure GBP260bln of Lloyds' troubled assets against further losses. Lloyds also agrees to lend an additional GBP28bln to businesses and households in the coming years. Full story here: http://www.guardian.co.uk/business/2009/mar/07/government-takes-over-lloyds
• UK govt could take 70% stake in Lloyds - reportPosted:17/07/2009 4:06 GMT by NeedToKnowNews
  The UK government could increase its stake in Lloyds Banking Group to about 70%, from 43% currently, in the wake of a Treasury rescue plan being considered by the bank's board today, the FT reported. The plan would include the government insuring illiquid Lloyds assets worth GBP258bln, in return for a new batch of B shares, the paper said. Full story here http://www.ft.com/cms/s/0/29514d4c-09df-11de-add8-0000779fd2ac.html
• UK plan to insure Lloyds' assets faces resistance --WSJE Posted:09/07/2009 12:22 GMT by NeedToKnowNews
  The UK government's plan to insure hundreds of billions of pounds in assets at Lloyds is being held up by some members of the bank's management. Lloyds is trying to avoid letting the government's stake rise from the current 43% to over 50%, a distinct possibilty depending on the outcome of the negotations. Read story here: http://online.wsj.com/article/SB123620828168633843.html
• RBS, Lloyds to put billions of assets in govt insurance scheme - reportPosted:10/07/2009 8:35 GMT by NeedToKnowNews
  RBS was last night preparing to put GBP 300bln of loans and other credit assets into the government's "asset protection scheme", which Lloyds Banking Group looks set to put GBP 250bln of assets into the programme, the FT reported. The government-backed scheme will insure these assets against losses in return for a fee. RBS is also expected to issue shares to the government and commit itself to boosting lending, the FT said.
• More On UK Bank Rescue PlanPosted:09/07/2009 12:37 GMT by NeedToKnowNews
  The UK government says it will offer protection to UK incorporated authorised deposit-takers, including UK subsidiaries of foreign institutions, with more than GBP 25 Bln of eligible assets. It says it will offer the protection on those assets most affected by the current economic conditions. The DMO meanwhile said the new banking package will in no way affect the gilt financing remit.