
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, June 12, 1990                   TAG: 9006120079
SECTION: BUSINESS                    PAGE: A-3   EDITION: METRO 
SOURCE: 
DATELINE: WASHINGTON                                LENGTH: Short

CONGRESS TOLD S&LS TO NEED DOUBLE BAILOUT

Congress may have to provide a new savings-and-loan bailout - roughly equal to last summer's $50 billion measure - this year, the chairman of the Senate Banking Committee said Monday in a two-hour speech on the Senate floor.

The speech by Sen. Donald W. Riegle Jr., D-Mich., followed the dramatic increase last month in the administration's estimate of the cost of rescuing the thrift industry.

Treasury Secretary Nicholas F. Brady told Riegle's panel that the cost would be between $89 billion and $132 billion. Until then, the administration had insisted S&L failures mostly could be handled by $50 billion in long-term borrowing authority provided last year. - Associated Press

by CNB