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billion through a stock offerinyg to boost its capital to meet federalgovernmentf requirements, the Atlanta-based bank said Monday. The Atlanta-based bank wantz to sell 108 million sharesat $13 a In relation to the SunTrust (NYSE: STI) suspended its previouslyt announced $1.25 billion “at the market” which raised $260 million. Further, SunTrustg began an offer to buy upto $1 billiomn liquidation preference or amount of certain of its currently outstanding preferrede and hybrid securities for cash usinhg proceeds from the $1.4 billionh equity offering. The moves come after the federap government’s “stress test” found SunTrust needed to raise $2.
2 billion in capital. And while SunTrust had sufficient tier 1 capitap to absorb projectedloan losses, its capital “tilted too to sources other than common the stress test revealed. After completing the offeringsw announced Monday and SunTrust expects to have fully satisfiedsits obligation. "Today's announcement underscore s that we are on a clear path to achievse our previously announced capital objectives as we intensify our focu onthe future," said James M.
Wells III, SunTrust chairman and CEO, in a Wells also noted completion ofthe company'as capital-related initiatives will boost its ability to repay, upon regulatory approvak and at the appropriate time, preferred stoclk gotten through participation in the U.S. Treasury's Capitapl Purchase Plan.
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