U.S. to Take $250 Billion Stake in Banks

The government is set to buy preferred equity stakes in Goldman Sachs (GS Quote), Morgan Stanley (MS Quote), JPMorgan Chase (JPM Quote) , Bank of America (BAC Quote) -- including the soon-to-be acquired Merrill Lynch (MER Quote) -- Citigroup (C Quote), Wells Fargo (WFC Quote) , Bank of New York Mellon (BK Quote) and State Street (STT Quote), the Wall Street Journal reports, citing people familiar with the matter.

Bloomberg reports the Treasury plans to spend $25 billion each for stakes in Citigroup and JPMorgan. Another $25 billion will be divided between Bank of America and Merrill, which agreed last month to be acquired by Bank of America. Wells Fargo is to get at least $20 billion, Goldman and Morgan Stanley will each get $10 billion, and State Street and Bank of New York will get about $3 billion each.