WASHINGTON The U.S. Treasury Department said on Monday it was tapping a $700 billion financial rescue fund to purchase $5 billion in equity in auto and mortgage lender GMAC LLC and increase its previously announced lending to General Motors by $1 billion.
Congress approved the $700 billion fund in early October, but the Treasury currently only has authority to use half of the amount approved by Congress.
Following are details on what has been spent or pledged so far of the $350 billion the Treasury currently has authority to draw on:
-- $250 billion had been pledged for purchases of senior preferred shares and warrants in banks and thrifts.
So far, the Treasury has completed equity purchases totaling $162 billion under this portion of the program. A further $10 billion is approved for Merrill Lynch but has been deferred pending its merger with Bank of America.
For a detailed list of bank and thrift capital injections that have been completed see:
-- $40 billion investment in troubled insurer American International Group, which has been completed.
-- $20 billion investment in Citigroup pledged as part of a bailout announced on November 23.
-- $14.4 billion to prop up General Motors Corp and Chrysler LLC, including the latest $1 billion for GM to help its affiliate GMAC to reorganize as a bank holding company. The Treasury has said GM could qualify for a further $4 billion in March, which would have to come from the final $350 billion tranche of the financial rescue fund.
-- $5 billion for GMAC.
-- $5 billion pledged to cover potential losses on a portfolio of Citigroup mortgage-related assets.
-- $20 billion pledged to cover potential losses for a Federal Reserve program aimed at improving consumer access to credit.
(Compiled by Reuters' Washington bureau)