Richmond-based First Market Bank has received $33.9 million from the U.S. Treasury as part of the government's $700 billion Troubled Asset Relief Program.
First Market was among 28 banks to receive a total of $238.6 million in the latest batch of payments, bringing the government's total infusion in U.S. banks to $195.6 billion.
"The TARP funds are meant for healthy banks," said Katie Gilstrap, spokeswoman for First Market. "First Market has a very conservative credit culture. We have never been involved in subprime or risky loans."
Gilstrap said First Market will use the infusion of cash to make more loans.
"Banks have to meet certain criteria to apply and be accepted, plus the funds have to be repaid," she said.
The money is invested in preferred shares, which pay the government 5 percent for the first five years and 9 percent thereafter, unless the stock is redeemed.
The bank is owned by Ukrop's Super Markets Inc., the Ukrop family and Markel Corp.
A total of 20 Virginia banks have received capital infusions.
In the Richmond area, they include Central Virginia Bankshares Inc. in Powhatan, $11.4 million; Union Bankshares Corp. in Bowling Green, $59 million; and Eastern Virginia Bankshares in Tappahannock, $24 million.
Contact Carol Hazard at (804) 775-8023 or chazard@timesdispatch.com.
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