Two more TARP recipients head for exits

Two more banks prepared to exit the federal bailout program this week amid signs that the Treasury Department will be winding down some key initiatives.

New Jersey-based OceanFirst Financial Corp. said that it had begun a $50 million stock offering with a view toward repaying the $38.2 million it received under the Troubled Asset Relief Program.

In a similar move, North Carolina-based Citizens South Banking Corp. announced a $30 million stock sale.In a statement, the bank said it would use "a portion of the net proceeds" to repay the $20.5 million it owes the Treasury Department.

The two banks' stock sales reflect a growing trend among banks eager to escape the heightened regulatory environment that came with accepting government assistance. Banks have particularly objected to restrictions on executive pay and the distribution of dividends.

So far, of the more than $204 billion lent out to the banks, more than $70 billion has been returned.

The Treasury also appears to be slowing down its distribution of funds. On Friday, the department announced that no banks received bailout assistance for the previous three weeks, the longest fallow period since it began late last year.