WASHINGTON (dpa-AFX) - Fifth Third Bancorp (FITB) Thursday said it has received a no-objection ruling from the Board of Governors of the Federal Reserve System regarding the proposed potential capital actions from April 1 through March 31, 2014.
The 2013 capital plans include a planned dividend raise, yet to be considered by the Board in June, and a potential repurchase of up to $750 million in trust preferred securities.
In addition, the company has also proposed a potential conversion of the $398 million in outstanding series of 8.5 percent convertible preferred stock into approximately 35.5 million common shares issued to the holders.
The company is also planning to repurchase up to $984 million, including any shares issued in a Series G preferred stock conversion. This transaction replaces the issuance of a similar amount of Tier 2-qualifying subordinated debt, and is subject to the determination of a regulatory capital event.
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