The United States Federal Reserve on Wednesday revealed its revamped, hi-tech $100 bill which will go into circulation beginning October 8th. The new bill has a number of features designed to make it harder to counterfeit and help retailers spot fakes at the register. The Fed has been working on the new $100 bill for several years, but production delays forced the agency to move back the release of the new bill by three years. The agency revealed the bill on its website Wednesday, breaking down all the new security features and including a pic of the bill, which can be seen above.
President Obama this week asked Congress to approve a change to the mixture of metals used to make pennies and nickels, which has remained essentially the same for more than 30 years. The reason for the change is that it currently costs more to make the coins than they're worth, with pennies costing 2.4 cents and nickels costing 11.2 cents. Given the massive number of coins produced each year at the US Mint, 4.3 billion pennies and 914 million nickels last year, the costs add up quickly, costing taxpayers about $100 million per coin.
American International Group on Thursday made a bailout repayment of $2.15 billion to the US Treasury, reducing its outstanding balance to right around $56 billion. The Treasury confirmed the payment, saying the money came from AIG's selling of its Nan Shan Life Insurance Co. in Taiwan.
According to the latest statement from the US Treasury, the government now has a lower cash balance than Apple Corp, the Cupertino, California-based tech giant that makes iPhones and iPads. According to its latest earnings report, Apple had a total of $76.2 billion in cash and securities at the end of June, while the government, according to Treasury's report, has a current operating balance of $73.8 billion. Maybe the US should divert the focus of NASA, who should have some time on its hands with the ending of the shuttle program, to developing a new smartphone or tablet computer.
U.S. Treasuries rose Tuesday for the first time in three days as investors concerned about Japan's ongoing nuclear crisis drove demand at an auction for $32 billion worth of three-year notes. The notes drew a yield of 1.28 percent, compared to the average estimate of economists in a Bloomberg survey, who had forecast the notes would yield 1.293 percent. The bid-to-cover ratio, which basically measures demand by comparing total bids with the amount of securities up for auction, was 3.25, surpassing the average of the previous ten sales, 3.14.
US Treasury Secretary Timothy Geithner said on Monday that if no action is taken, the nation's largest economy will reach its debt limit ceiling by May 16th. Geithner made the comments in a letter to Congressional leaders urging them to act now to avoid defaulting on the nation's financial obligations.
The US Treasury's program in which it bailed out a number of major banks moved out of the red Wednesday as banks repaid $7.4 billion in bailout assistance funds. The financial transfers to the Troubled Asset Relief Program will push the total amount taxpayers have recouped from the nation's banks to $251 billion. The program paid out a total of $245 billion to banks at the height of the financial crisis to help avoid a catastrophic collapse of the US financial system.
According to the Congressional Oversight Panel's final report on the 2008 financial crisis that crippled the US economy, Citigroup exposed taxpayers to the greatest risk among bailed-out companies when it received taxpayer aid totaling $476.2 billion in cash and guarantees. The report announced the total of bailout funds received by troubled banks during the crisis.
The United States Treasury Department announced on Thursday it has managed to recoup $2.7 billion of its bailout of Ally Financial through the sale of preferred securities it was holding. The department also said it hopes to recoup more of the taxpayers' money through a planned initial public offering of the former financial unit of General Motors.
American International Group has reportedly sold shares of MetLife Inc. worth about $9.6 billion. The move has produced nearly $6.3 billion in gross revenue for the insurer which it will use to accelerate the repayment of taxpayer bailout funds to the US Treasury.