US Treasury says will be hard for public companies to qualify for coronavirus relief loans

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A highly valued public company will have a hard time getting a coronavirus relief loan, the U.S. Treasury said on Thursday, just as Congress was ...

A highly valued public company will have a hard time getting a coronavirus relief loan, the U.S. Treasury said on Thursday, just as Congress was poised to approve a new round of funding for the loans known as the Paycheck Protection Program.

"It is unlikely that a public company with substantial market value and access to capital markets will be able to make the required certification in good faith," the Treasury said in an updated list of Frequently Asked Questions on the program.Public outcry has erupted over major chain restaurants being able to take out the forgivable loans in the first round of lending this month.

The FAQ made it clear that the Treasury is looking hard at the step in which a small business"must certify in good faith that their PPP loan request is necessary."

 

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