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Admin Paves Way to Nationalizing Banks

HeadlineFeb 24, 2009

The Obama administration has taken further steps toward the possible nationalization of troubled banks. On Monday, the White House changed the terms of government bailouts to allow financial firms to repay loans with common stock instead of cash. That would increase the government’s chances of taking controlling ownership. The government has already invested nearly $200 billion in over 400 banks, including $45 billion in Citigroup.

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