San Francisco-based Wells Fargo & Co. will be among the first group of banks to get an infusion of cash from the government, even though initially the bank's CEO didn't want the government's money.
Wells Fargo will be receiving a $25 billion investment as part of the U.S. government's plan to invest up to $250 billion in the banking industry.
According to The New York Times and The Wall Street Journal, Chairman Richard Kovacevich opposed the plan because he didn't think Wells Fargo should be forced to sell stock that might dilute other shareholders.
During a question-and-answer session at the Commonwealth Club last night, Kovacevich said he dropped his resistance after realizing the infusion will provide the ailing economy with a shot in the arm.
