by Calculated Risk on 2/17/2008 12:48:00 PM

From the Financial Times: Northern Rock to be nationalised

Northern Rock ... is to be nationalised, the UK Treasury announced on Sunday.
...
The government would introduce legislation for the move on Monday. UK listing authorities will suspend the company’s shares prior to opening of the London stock market.

Taxpayers are subsidising the bank in loans and guarantees to other lenders totalling £55bn. [Alistair Darling, chancellor of the exchequer] said he expected these to be repaid.

“It is our expectation that the company can be moved back into the private sector at the earliest and most opportune opportunity,” he said.

MarketWatch has the Statement by U.K. government on Northern Rock