TheCapital Purchase Program under TARP has largely wound down, according to a reportfrom the Government Accountability Office.

Sixteenout of the 707 institutions that the Department of the Treasury invested in arestill in the program. The Treasury expects most of the remaining banks to exit TARPby restructuring their agreement instead of repaying in full.

Repaymentsand auctions of the CPPsecurities were the primary means for exiting the program. But with nine out of16 banks with negative returns on average assets in 2015 and others showing lowerreturns on assets in 2015 compared to 2011, the Treasury recognizes both optionsare unlikely.

Throughrestructurings, the remaining banks can negotiate terms for their investments andraise new capital or merge with other institutions. The Treasury will also agreeto receive cash or securities, generally at a discount, through this approach.

TheTreasury has not set time frames for the institutions to exit the program.