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Goldman Sachs Ready to Repay Some Gov't Loans


Goldman Sachs says it has sold $5 billion in stocks to help repay emergency funds it received from the U.S. government.

The bank raised the money after reporting first quarter profits of $1.66 billion, far more than expected.

Goldman Sachs is eager to pay all of the $10 billion it received from the federal Troubled Asset Relief Program, as soon as the government approves.

It would be the first major U.S. bank to repay federal loans handed out last year to try to keep the institutions running.

If Goldman Sachs repays the debt, it would not have to abide by government restrictions, such as limits on executive pay.

Some analysts say the government may not want Goldman Sachs to repay its loan so soon, because it could pressure other banks to settle their debt before they are financially stable.

Some information for this report was provided by AP and Reuters.


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