A person walks by the Wall Road subway signal on March 23, 2020 in New York Metropolis.
Angela Weiss | AFP | Getty Photos
A draft copy of the large $2 trillion Senate rescue package deal anticipated to be handed on Wednesday would bar firms receiving federal loans from inventory buybacks for one 12 months after the mortgage is paid again.
The huge rescue package deal authorizes $25 billion in loans to passenger air carriers, $four billion to cargo air carriers, and $17 billion for “companies important to sustaining nationwide safety.”
The laws would additionally bar sure firms from paying dividends to shareholders for one 12 months after the mortgage is paid again, and from decreasing their employment ranges by 10% till the top of September.
Along with loans, the laws additionally authorizes money grants to these within the airline trade. It requires $25 billion in grants for passenger airlines, $4 billion for cargo carriers and $3 billion for contractors.
The grant circumstances name for a pause on dividends and buybacks via September 2021 and a pledge to “chorus from conducting involuntary furloughs or decreasing pay charges and advantages till September 30, 2020.”
The textual content of the laws must be finalized and voted on by the Senate, accredited by the Democratic-controlled Home of Representatives and signed by President Donald Trump earlier than turning into legislation.
The Senate is anticipated to take up the laws later Wednesday. The Home is unlikely to vote on the matter till Thursday.
— CNBC’s Kayla Tausche contributed to this report.
That is breaking information. Test again for updates.