Email: 
Password: 
Register
Local News Special Report Up Close Regular Features Special Publications  
Featured Stories:  
We need real state budget discussion            |            DOT readies $35 million NSC job bids            |            Pictures from the ground up            |            Suncrest Plaza developers sign six new tenants there            |            Farm Credit's earnings dip during 2009            |            Refrigeration company expands here            |            STA selects CH2M Hill to do downtown study            |            PFD buys C.I. Shenanigans property            |            Real Estate Roundup            |            Insurance co-op plans West Plains project            |            Clinic plans to erect Liberty Lake medical office            |            Whitman posts big loss, but deposits jump            |            Mortgage lender moves from longtime Valley site            |            Motorcycle dealer here adds BMW line            |            Apartment vacancy rate climbs            |            Deposits top loans in new bank reports            |            Wading into social media            |            STCU posts 13 percent increase in net            Look before you leap at Roth conversion            |            United Way knocked on more execs' doors in campaign            |            Crawford family's gift used to launch charitable foundation            |            $1 million said not enough for average family to retire            |            Frugal is the new norm for affluent Americans, study finds            |            Tutoring program gets Avista grant            |            Efforts to add affordable housing get creative            |            Wealthy conflicted about charitable giving amid downturn            |            More older workers saying they can't afford to retire            |            Use '09 tax return to guide your 2010 financial strategy           

Search the Journal

Journal of Business

Subscriber Services

Ad Services

Editor's Desk

About Us
Email Updates


Get the news as it happens, with our E-mail Update.

When breaking news happens, we rush it to you first. You get the news that matters, right now - not later, when your competition has its hands on it.

Our E-mail Update is free to paid Journal subscribers - SIGN UP NOW

03/16/2010
Sterling provides update on capital-raising efforts ...

Sterling Financial Corp. said today it has entered into a nonbinding letter of intent with one firm to provide additional capital so it can recapitalize, and also is in negotiations with several private equity investors, its major creditors, and its regulators about alternatives for its recapitalization. Sterling released a letter from the U.S. Department of the Treasury, which said it would agree to the exchange of its preferred stock in Sterling for preferred stock that Sterling could convert into common stock. Treasury said Sterling was taking further action, "such as raising at least $650 million in new common stock at a price no greater than 20 cents per share" and obtaining approval by a substantial portion of the holders of its trust preferred securities to redeem those securities for a cash payment of not more than 20 cents on the dollar, and it would need to evaluate those efforts. "We continue to make progress toward raising capital and improving our financial condition," President and CEO Greg Seibly said. Sterling said it continues to weigh other alternatives, including public and private equity offerings; the potential sale of Sterling or some or all of its assets; or other "substantial adjustments" to its balance sheet.