Capital Purchase Program

E383979

The Capital Purchase Program was a U.S. Treasury initiative under TARP that injected capital into banks by purchasing preferred stock to stabilize the financial system during the 2008 crisis.

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All labels observed (1)

Label Occurrences
Capital Purchase Program canonical 6

Statements (47)

Predicate Object
instanceOf TARP initiative
United States Treasury program
financial stabilization program
abbreviation CPP
administeredBy United States Department of the Treasury
aimedAt increasing bank lending
strengthening bank capital ratios
announcedBy Bush administration
surface form: George W. Bush administration

Henry Paulson
appliesTo U.S. banks
bank holding companies
certain thrift institutions
appliesToJurisdiction United States of America
surface form: United States
authorizedUnderProgram Troubled Asset Relief Program
continuedDuring Barack Obama presidency
country United States of America
surface form: United States
endCause improvement of financial market conditions after crisis
fundingSource United States Department of the Treasury
surface form: U.S. Treasury
hasEffect injection of capital into financial institutions
hasPurpose recapitalization of banks
restoration of confidence in the banking system
stabilization of the U.S. financial system
historicalPeriod 2008 United States housing and financial crisis
surface form: Great Recession
implementedDuring Bush administration
surface form: George W. Bush presidency
imposesCondition dividend payment limits on participating institutions
restrictions on executive compensation for participants
inception 2008
industry financial services
investmentInstrument preferred stock
warrants for common stock
legalBasis Emergency Economic Stabilization Act of 2008
mainSubject 2007–2008 financial crisis
monitoredBy Office of Financial Stability (historical)
surface form: Office of Financial Stability
oversight Congressional Oversight Panel
Government Accountability Office
parentProgramBudget 700 billion USD
partOf Troubled Asset Relief Program
policyType bank recapitalization policy
crisis intervention program
regulates capital structure of participating banks
relatedTo Capital Assistance Program
Public-Private Investment Program
Federal Reserve emergency lending programs
surface form: Systemically Significant Failing Institutions Program
sector banking
startTime October 2008
usesMethod purchase of equity warrants
purchase of preferred stock

Referenced by (6)

Full triples — surface form annotated when it differs from this entity's canonical label.

Troubled Asset Relief Program keyProgram Capital Purchase Program
Public Law 110-343 relatedProgram Capital Purchase Program
Timothy Geithner as United States Secretary of the Treasury oversawProgram Capital Purchase Program
subject surface form: Timothy Geithner
Targeted Investment Program relatedTo Capital Purchase Program