Bank of America (BAC)

[Chiron]

K: Me also like BAC. After this financial crisis, banking giants standing will be BAC, JPM, C (not too sure). Maybe GS will join in since they have converted to a full bank as well.

Similar to 97 crisis, spore local banks also consolidate into the current big 3, and see where they are now? Will I ever see DBS below 5 bucks in my lifetime? chances are slim.

Most probably once in a lifetime opportunity for me to buy at such a price.

[kennynah]

hi chiron :

i duno about you..but i have no truckloads of solid facts to back me up on my opinion on BAC... so, it will always be just a bet...and all bets have risks...but that;s fine...she's my mistress...hahaha

[Chiron]

K: me also dun hv heavy arti support for me to go into hill BAC. Guts rules!

[Chiron]

First round of buying done late last week. Maybe soon another chance will apprear for me to add on at price below usd22

[LenaHuat]

BofA anticipates uglier numbers:

Bank of America Chief Executive Kenneth Lewis said on Tuesday that the U.S. economy will get worse before it improves, and forecast record losses for the U.S. credit card industry.

"We, as an industry, may end up with possibly the highest credit card losses the industry has ever experienced," Lewis said.

Lewis said that in light of the ongoing financial crisis he saw a good chance of another half a percentage point rate cut at the next Federal Reserve meeting scheduled for Dec. 15-16.

Speaking to reporters, Lewis also said the largest U.S. bank will have 'fairly significant' job eliminations resulting from its takeover of Merrill Lynch [MER 11.40 -0.38 (-3.23%) ] in September.

[LenaHuat]

Now, another nightmare as reported by Reuters

After Citi, is BofA next?

http://www.reuters.com/article/idUKTRE4AN8FN20081124?virtualBrandChannel=10112

[kennynah]

this data was collated in May08...it's 6 months old...i have not verified its accuracy and so, please do your own investigations..

Firm Writedown Credit Loss Total

Citigroup 37.3 5.6 42.9

UBS 38.2 38.2

Merrill Lynch 37 37

HSBC 6.9 12.6 19.5

IKB Deutsche 16 16

Royal Bank of Scotland 15.2 15.2

Bank of America 9.2 5.7 14.9

Morgan Stanley 12.6 12.6

JPMorgan Chase 5.5 4.2 9.7

Credit Suisse 9.5 9.5

Washington Mutual 1.1 8 9.1

Credit Agricole 8.3 8.3

Deutsche Bank 7.7 7.7

Wachovia 4.6 2.4 7

HBOS 6.9 6.9

Bayerische Landesbank 6.7 6.7

Fortis 6.6 6.6

Societe Generale 6.3 6.3

Mizuho Financial Group 6.2 6.2

ING Groep 6 6

Barclays 5.2 5.2

WestLB 4.8 4.8

Canadian Imperial (CIBC) 4.2 4.2

LB Baden-Wuerttemberg 4 4

E*Trade 2.5 0.9 3.4

Dresdner 3.4 3.4

Natixis 3.4 3.4

Wells Fargo 0.6 2.7 3.3

Lehman Brothers 3.3 3.3

Bear Stearns 3.2 3.2

National City 0.5 2.6 3.1

Goldman Sachs 3 3

BNP Paribas 2.1 0.6 2.7

Lloyds TSB 2.7 2.7

Nomura Holdings 2.5 2.5

HSH Nordbank 2.5 2.5

ABN Amro 2.4 2.4

Bank of China 2 2

Commerzbank 1.9 1.9

Royal Bank of Canada 1.7 1.7

UniCredit 1.6 1.6

DZ Bank 1.5 1.5

Alliance & Leicester 1.4 1.4

Dexia 1.1 0.2 1.3

Caisse d'Epargne 1.2 1.2

Hypo Real Estate 1 1

Gulf International 1 1

European banks not 9.2 9.2
listed above (a)

Asian banks not 7.5 0.3 7.8
listed above (b)

North American banks 3 1.1 4.1
not listed above (c)
____ _____ _____

TOTALS* 332.3 46.9 (d) 379.2

[kennynah]

Bank of America Receives Federal Reserve Approval to buy Merrill Lynch - quick facts
11/26/2008 3:59 PM ET

(RTTNews) - Bank of America Corp. (BAC: News ) said that it has received approval from the board of the Federal Reserve System for its proposed takeover of Merrill Lynch & Co. Inc. (MER: News ).

Bank of America aims to close the transaction by the end of the year pending shareholder and other regulatory approvals.

Once the purchase is complete, Bank of America will have the largest wealth management business in the world with nearly 20,000 financial advisors and about $2.5 trillion in client assets.

[kennynah]

Move aside Citi....

Shareholders Approve Bank of America-Merrill Lynch Deal - Update
12/5/2008 2:11 PM ET (RTT News)

Shareholders of Bank of America Corp. (BAC: News ) and Merrill Lynch & Co. Inc. (MER: News ) Friday approved the proposed acquisition deal, which would make Bank of America the number one U.S. bank. The acquisition is expected to close by the end of the year, subject to regulatory approvals and other customary closing conditions.

Under the deal, Merrill Lynch stockholders will receive 0.8595 of a share of Bank of America common stock for each share of Merrill Lynch common stock held immediately prior to the merger. The price is 1.8 times the stated tangible book value. Merrill Lynch will become a wholly-owned subsidiary of Bank of America.

Bank of America shareholders approved the acquisition of Merrill Lynch by authorizing the shares of common stock to be issued in the merger.

Since the deal was announced on September 14, shares of Bank of America shares have slid 57%, reflecting the company's exposure to the U.S. housing market, rising credit-card defaults and weak economy. As a result, the value of the acquisition has plunged to $19.7 billion from the initial price of $50 billion.

Both companies' boards have unanimously recommended stockholders to vote for the adoption of the merger agreement and other related proposals. Last month, the Federal Reserve System approved the deal.

Meanwhile, there were reports earlier that Merrill Lynch intends to cut year-end bonuses by 50% and some traders and investment bankers would face steeper cuts.

Amid concerns regarding the viability of the deal from some corners, pressure is mounting on Bank of America's chief executive Kenneth Lewis to show that his company can digest Merrill Lynch, the nation's largest brokerage firm and a well-regarded investment bank, without major hiccups. Further, the falling economy is expected have some adverse impacts on the deal.

When announcing the deal, Lewis had called Merrill "the ideal long-term fit." Bank of America expects to generate fees from Merrill's strong sales force, while planning to slash costs by $7 billion with the combination. In addition, 25,000 to 30,000 positions, or 8% to 10% of the employees of new firm, are likely to be eliminated over the next three years.

[kennynah]

same story....touted as reason for price drop....crap excuse

*******************

Bank Of America Declines In Pre-Market On Plans For Job Cuts
12/12/2008 8:23 AM ET (RTT)

Bank of America (BAC: News ) fell in pre-market trading, on plans to reduce its workforce by between 30,000 and 35,000 positions over the next three years.

The stock was down 76 cents just after 8:20 am ET, dropping to $14.15. If pre-market losses hold, the stock will open at its lowest level in a week.

Thursday, Bank of America said that it expects to cut about 30,000 to 35,000 positions over the next three years, citing the impact of the pending merger with Merrill Lynch (MER) which is expected to close on Jan. 1, 2009, and the weak economic environment. Since the company has not completed its analysis, the final number will not be determined until early 2009.