shares sank nearly 6% Friday after CEO Jamie Dimon said March has been "a little tough" and indicated the bank was in no rush to return government bailout money.
Dimon, in an interview on
following a meeting with President
and 14 other bank CEOS, reiterated that the company currently does not have a timetable for when it expects to repay government funds it received from the Troubled Asset Relief Program, or TARP. That being said, Dimon said that the company does not need to raise additional capital at this time.
"I don't think we need equity so I doubt it," Dimon told
Dimon said JPMorgan wants "to do what's right for JPMorgan Chase and the country." He said the company would take guidance from federal regulators.
"We have upcoming the stress tests and I think it's a way to be very definitive about the strength of some of these financial companies," he said to
It was Dimon's slightly pessimistic comments on the bank's March results, however, that seemed to
At the end of February, when the company slashed its dividend, it said at the time that it was "solidly profitable," even after additions to loan loss reserves.
Bank of America
CEO Ken Lewis also said that the company's "trading book was not as good in March," in a separate
interview. He declined to comment further on the company's results.
BofA shares closed down 3.2% to $7.34 on Friday.
In addition to Dimon, CEOs from
Bank of America
Bank of New York Mellon
met with Obama Friday. The executives discussed the top financial issues the country is facing. The meeting lasted between one and two hours.
After the meeting, Dimon said Obama asked multiple questions and encouraged participation from the group. Obama also set the tone to get banks working together to get the economy working again.
White House Press Secretary Robert Gibbs said Obama urged the executives to deal with the bad assets they own so they can resume lending money to businesses and consumers. He also says the president emphasized that Wall Street needs Main Street and vice versa. The meeting comes as the industry has come under fire from the public and politicians over bonus payments made to executives at bailed out companies like
Dimon acknowledged Wall Street pay had "went too far and obviously that's been reined in a lot."
"I should be clear a lot of mistakes were made around compensation," he said. "At JPMorgan Chase we never had golden parachutes, we never had change in control. We already make executives do a lot in stock it has to vest over time."