WASHINGTON, DC - Today, after attending President Barack Obama's speech at the White House on financial regulatory reform, U.S. Senator Jack Reed (D-RI), Chairman of the Banking Subcommittee on Securities, Insurance, and Investment, issued the following statement:

"The financial crisis exposed serious pitfalls and cracks in our financial regulatory system. Today, the President offered a solid plan to begin to fill in those gaps, reform the system, and strengthen our economy.

"We need comprehensive regulation of financial institutions and robust supervision and rules that give regulators "teeth" to hold firms accountable. The Administration's proposal offers stronger protection and increased transparency for consumers, investors, and businesses.

"For years, I have worked hard to improve oversight of traditionally less-regulated institutions, enhance regulatory standards for institutions that pose risks to the system, and elevate consumer and investor protection to the top of the regulatory agenda where it belongs. It is good to have a President who shares these goals.

"Now, Congress needs to consider, debate, and pass legislation to strengthen the system. We'll need to work closely to ensure we have the right approach to systemic risk regulation, and ensure effective changes to credit rating agencies.

"There will certainly be some changes and modifications to today's plan, but we cannot afford the price of inaction. We need to work together to modernize our fragmented and outdated regulatory system and restore America's reputation as having one of the strongest and best-regulated financial marketplaces in the world."