| Author | Message | ||
     Ashton Hero Username: Ashton Post Number: 12682 Registered: 05-2008 Posted From: 64.20.45.178 Rating: N/A |
Will Bank of America's Buffett Deal Backfire? http://www.cnbc.com/id/44356944 | ||
| Ashton Hero Username: Ashton Post Number: 12681 Registered: 05-2008 Posted From: 64.20.45.178 Rating: N/A |
Fed Reserve Asks Bank Of America For Contingency Plans In Case Of Continued Failure http://online.wsj.com/article/SB1000142405311190389590457654 2991664860896.html?mod=rss_us_homepage_articles U.S. regulators have pushed Bank of America Corp. to show what measures it could take if conditions worsen for the Charlotte, N.C., lender, according to people familiar with the situation. Executives of the bank recently responded to the unusual request from the Federal Reserve with a list of options that includes the issuance of a separate class of shares tied to the performance of its Merrill Lynch securities unit, these people said. Bank of America purchased Merrill Lynch in 2009, and it has become the bank's most profitable division. Chief Executive Brian Moynihan isn’t expected to pull the trigger soon, if ever, on the creation of a so-called Merrill Lynch tracking stock. Such a move would raise money from investors but could be viewed as counter to Mr. Moynihan’s strategy of knitting together the disparate parts of the franchise into a cohesive whole. Its inclusion on the list as a theoretical option shows the bank is considering all possibilities as it wrestles with an array of problems weighing down its shares…. |
