The Board of Governors of the Federal Reserve System has determined that, under the stress test administered under The Supervisory Capital Assessment Program (SCAP), State Street Corp. does not need additional capital.

The Federal Reserve concluded that State Street has a sufficient capital buffer to withstand even the stress test’s "more adverse" scenario.

"We’re very pleased to have passed this important supervisory test by a wide margin. Even under the test’s ‘more adverse’ stress assumptions, State Street’s capital levels are well in excess of the required ratios established by the supervisory authorities. The Federal Reserve’s findings are also consistent with our own long-held views of the quality of our assets," said Ronald E. Logue, chairman and CEO of State Street. "With the stress test completed, we are now in a position to consider repayment of the TARP preferred stock and warrants under the appropriate circumstances."