Yesterday, Wells Fargo announced that is has completed its previously announced redemption of $25 billion of preferred stock issued to the U.S. Treasury under the Capital Purchase Program in October 2008. As part of the redemption of the preferred stock, Wells Fargo also paid accrued dividends of $131.9 million, bringing the total dividends paid to the Treasury to $1.441 billion since the preferred stock was issued. Treasury continues to hold warrants to purchase approximately 110 million shares of Wells Fargo common stock at an exercise price of $34.01 per share. Net proceeds of Wells Fargo's recent $12.25 billion common stock offering and excess liquidity were used to repay the $25 billion TARP investment and accrued dividends.
Citigroup also announced that it has completed its previously announced redemption of $20 billion in preferred stock issued to the Treasury under the Targeted Investment Program as well as terminated the loss-sharing agreement under which the U.S. government agreed to share losses on a pool of originally $300 billion of Citigroup assets. As part of the agreement to end the loss-sharing program, the government has cancelled $1.8 billion of trust preferred securities that were part of the $7.1 billion in trust preferred securities paid in consideration for the loss-sharing agreement. The government continues to hold $5.3 billion in trust preferred securities, 7.7 billion common shares and additional warrants to buy Citigroup common stock. The repayment of the trust preferred securities and termination of the loss-sharing agreement follow the successful completion of Citigroup's recent securities offering which raised $20.5 billion, including $17 billion in common shares and $3.5 billion in tangible equity units.