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December 14, 2007
Washington Mutual ups stock offering
The Seattle-based thrift (said it would offer 3 million shares of convertible preferred stock and expects the offering to generate total proceeds of $3 billion and net proceeds of $2.9 billion. That's up from the $2.5 billion in total proceeds that the company on Monday said it hoped to generate from the stock offering.
Washington Mutual Inc. said it would contribute $1 billion of the net proceeds to Washington Mutual Bank, its principal bank subsidiary, with the rest going to the holding company for general corporate purposes. The company said it expects the offering to close on or about Dec. 17.
Along with the stock offering, Washington Mutual on Monday announced deep layoffs in its mortgage business, a dividend cut and plans for higher-than-expected loan losses.
Posted by S. Germain at December 14, 2007 08:20 AM