TBO.com - TBO is Tampa Bay Online

Raymond James Gets In Line For Bailout Funds

Tribune photo by SCOTT ISKOWITZ

Chairman and Chief Executive Officer Thomas A. James said Raymond James has applied for the program as a replacement for its unsecured credit lines.

ADVERTISEMENT

TBO.com

Published: November 22, 2008

Updated: 11/22/2008 04:10 pm

The St. Petersburg brokerage firm Raymond James Financial, Inc. confirmed this week that it has applied to participate in the $700 billion bailout of the banking industry.

Chairman and CEO Thomas A. James said in a statement on the company's Web page that the company has applied for the Capital Purchase Program, part of the Emergency Economic Stabilization Act. The act allows the U.S. Treasury to purchase distressed assets.

The company applied for the program "as a replacement for our previous and current unsecured credit lines and as a means of obtaining additional capital in these times of economic crisis, particularly in the financial services sector," James said.

Raymond James Financial has more than 5,000 financial advisers serving roughly 1.8 million accounts in more than 2,200 locations throughout the U.S., Canada and overseas. Its total client assets are about $187 billion, according to the company's Web page.

The bailout program is available to qualifying U.S.-controlled banks, savings associations, and certain bank and savings and loan holding companies.

Companies that participate lose certain tax benefits and, in some cases, must limit executive pay, according to the U.S. Senate Committee on Banking, Housing and Urban Affairs. The legislation also limits "golden parachute" benefits for terminated executives and requires that unearned bonuses be returned.

Share this:

Loading Comments...

Email Print

ADVERTISEMENT