The Treasury Department outlined the warrant repurchase process under the Capital Purchase Program in a press release issued today. The Capital Purchase Program allows qualified financial institutions to receive a capital injection from the Treasury Department in return for preferred stock and warrants. When a publicly-traded institution repays the Treasury Department for investments made through the Capital Purchase Program the institution has the "right to repurchase the warrants at fair market value via an independent valuation process," according to the Treasury Department. Today's press release outlines the four step process.
Click here for the Treasury Department's press release.