Bank of America Corporation (ticker: BAC, exchange: New York Stock Exchange (.N))
News Release -
19-Jul-2006
Bank of America Reports Record Second Quarter Earnings of $5.5 Billion, or $1.19 Per ShareSupplemental second quarter 2006 financial information
Net income up 18 percent
Strong momentum across businesses
Record checking account sales
Record investment banking income
Efficiency ratio below 48 percent
CHARLOTTE, N.C., July 19 /PRNewswire-FirstCall/ -- Bank of America
Corporation today reported that net income in the second quarter of 2006 rose
18 percent to $5.48 billion from $4.66 billion a year earlier. Per-share
earnings (diluted) were $1.19, up 4 percent from $1.14 a year earlier, the
previous record quarter on a split-adjusted basis. Return on average common
shareholders' equity for the second quarter was 17.26 percent. Under purchase
accounting rules, results for the second quarter of 2005 do not include MBNA,
which was acquired on January 1, 2006.
(Logo: http://www.newscom.com/cgi-bin/prnh/20050720/CLW086LOGO-b)
Excluding merger and restructuring charges of $194 million pre-tax, equal
to 3 cents per share, the company earned $5.60 billion, or $1.22 per share
(diluted), in the second quarter of 2006. A year earlier merger and
restructuring charges of $121 million related to the acquisition of
FleetBoston Financial reduced per-share earnings by 2 cents.
"Our performance this quarter demonstrates the power of our unmatched
franchise and diverse revenue sources, as well as the skill and hard work of
our associates," said Kenneth D. Lewis, chairman and chief executive officer.
"Our ongoing advances in operational excellence led to our best efficiency
ratio ever, while our investments in innovation and service across the bank
produced gains in the consumer, capital markets and wealth management
businesses. We offset the difficult interest rate environment with great
execution in every line of business, leading to a significant increase in fee
income and continued momentum in the growth of shareholder value."
Revenue grew 25 percent from a year earlier while noninterest expense was
up 24 percent. On a pro forma basis (including MBNA's second quarter of 2005
results), revenue increased 6 percent while noninterest expense was up 2
percent. Historical information regarding pro forma results was included in
the Form 8-K filed on April 10, 2006.
The year-over-year improvement was driven by strong performance across the
consumer businesses, continued growth in trading account profits, investment
banking income and equity investment gains, as well as improvements in asset
management categories.
For the first six months of 2006, Bank of America earned $10.46 billion,
or $2.25 per share (diluted), compared to $9.05 billion, or $2.21 per share on
a split-adjusted basis, a year earlier.
Second Quarter 2006 Highlights
- Net new retail checking accounts reached a record 701,000 in the second
quarter, helped by innovative programs such as Keep the Change(TM). To
date, more than 2.7 million customers have enrolled in Keep the Change.
- Debit card income grew more than 20 percent from the second quarter of
2005, as higher checking account volume and Keep the Change increased
usage of debit cards at retail locations. Debit card purchase volume
topped a record $42 billion in the quarter, an increase of 22 percent
from the second quarter of 2005.
- Total loans and leases grew 17 percent in Global Corporate and
Investment Banking from the second quarter of 2005 as businesses
continued to invest and expand.
- Investment banking fee income in Global Corporate and Investment
Banking reached a record $645 million in the second quarter, as
business practices such as the "dual coverage" partnership between
Commercial Banking and Investment Banking continue to increase capital-
raising and M&A business among commercial clients.
- Capital Markets and Advisory Services produced revenue of more than
$2 billion for the second consecutive quarter, as a favorable market
environment in addition to technology and personnel investments begun
in 2005 produced strong across-the-board trading results.
- Total assets under management in Global Wealth and Investment
Management hit the $500 billion milestone, an increase of 13 percent
from the second quarter of 2005. The increase drove 11 percent growth
in asset management fees. Based on assets under management, 85% of
assets were invested in funds (equity, fixed income, and money market
funds) where at least one share class placed in the top two quartiles
of their peer group as of June 30, 2006.(1)
(1) The share class earning the ranking may have limited eligibility and
may not be available to all investors. Peer group rankings were provided
by Morningstar for equity funds, Lipper for fixed income funds and
iMoneyNet for money market funds.
Second Quarter 2006 MBNA Transition Highlights
- Cost savings for the merger in the second quarter were $275 million
pre-tax, due primarily to personnel reductions and marketing synergies.
The transition is on track to meet projected savings targets.
- As of June 30, about 4,000 of the projected 6,000 job reductions have
been achieved through a balance of attrition and severance since the
merger was announced on June 30, 2005.
- Nearly 25 years after MBNA pioneered affinity marketing by offering
credit cards to customers who share a strong common interest, Bank of
America recently announced long-term extensions of three of its
longest and most successful affinity marketing agreements with the
National Education Association (NEA), Ducks Unlimited and the American
Automobile Association (AAA).
- More than 4,200 banking centers are now selling affinity credit cards,
and the products are expected to be sold at more than 5,700 banking
centers by the end of July. Affinity cards were introduced on
bankofamerica.com earlier this year, where customers can now choose
among more than 350 affinity card options. Early results have exceeded
expectations.
Second Quarter 2006 Financial Summary
Revenue
Revenue on a fully taxable-equivalent basis grew 25 percent to $18.52
billion from $14.78 billion in the second quarter of 2005. Last year's results
did not include MBNA.
Net interest income on a fully taxable-equivalent basis was $8.93 billion,
compared to $7.83 billion the previous year. Besides the addition of MBNA,
the increase was driven by loan growth and increases in asset-liability
management (ALM) activity, partially offset by lower core deposit levels and
spread compression. The net interest yield increased 5 basis points to 2.85
percent.
Noninterest income was up 38 percent to $9.60 billion from $6.96 billion.
Besides the addition of MBNA, which helped boost card income, these results
were driven by continued strength in service fee income and increases in
trading account profits, investment banking income and equity investment
gains. Other income declined significantly. A year ago this component
benefited from the results of the ALM process, including the change in the
value of derivatives used as economic hedges that did not qualify for SFAS 133
and the sale of whole loans.
Sales of debt securities resulted in a $9 million net loss in the second
quarter of 2006 compared to a $325 million net gain in the second quarter of
2005.
Efficiency
The efficiency ratio for the second quarter of 2006 was 47.06 percent
(46.01 percent before merger and restructuring charges) driven by continued
positive operating leverage. Noninterest expense increased to $8.72 billion
from $7.02 billion a year ago. Besides the addition of MBNA, expenses
increased due to marketing spending related to consumer banking initiatives
and revenue-related incentive compensation. Also included in second quarter
2006 expenses were $194 million in pre-tax merger and restructuring charges
related to the MBNA acquisition.
The effective tax rate increased to 35.56 percent in the second quarter
from 33.69 percent in the second quarter of 2005 primarily as a result of a
$175 million cumulative charge reflecting recently passed tax legislation
related to foreign sales corporation provision.
Credit Quality
Credit quality remained stable. Net charge-offs increased from the second
quarter of 2005 due to the addition of MBNA and new advances on accounts
previously securitized, partially offset by lower credit card bankruptcy
charge-offs. Provision expense rose compared to the second quarter of 2005
due to the addition of MBNA and 2005 commercial credit reserve releases. These
increases were partially offset by decreased credit card costs.
- Provision for credit losses was $1.01 billion, down from $1.27 billion
in the first quarter of 2006, and up from $875 million a year earlier.
- Net charge-offs were $1.02 billion, or 0.65 percent of average loans
and leases. Net charge-offs were $822 million, or 0.54 percent, in the
first quarter of 2006 and $880 million, or 0.68 percent, in the second
quarter of 2005. Reported net charge-offs excluded $27 million, or 0.01
percent of average loans and leases in the second quarter of 2006 and
$210 million or 0.14 percent in the first quarter of 2006 as a result
of impaired loan purchase accounting for MBNA.
Total managed net losses were $1.81 billion, or 0.98 percent of managed
loans and leases. This compared to $1.48 billion, or 0.84 percent, on
March 31, 2006 and $1.01 billion, or 0.77 percent on June 30, 2005.
- Nonperforming assets were $1.64 billion, or 0.25 percent of total
loans, leases and foreclosed properties, as of June 30, 2006. This
compared to $1.68 billion, or 0.27 percent, at March 31, 2006 and $1.90
billion, or 0.36 percent, on June 30, 2005.
- The total allowance for loan and lease losses was $9.08 billion, or
1.36 percent of loans and leases, at June 30, 2006. This compared to
$9.07 billion, or 1.46 percent, at March 31, 2006 and $8.32 billion, or
1.57 percent, at June 30, 2005, which did not include MBNA.
Capital Management
Total shareholders' equity was $127.84 billion at June 30, 2006. Period-
end assets grew to $1.45 trillion. The Tier 1 Capital Ratio was 8.33 percent,
compared to 8.45 percent on March 31, 2006 and 8.16 percent a year earlier.
During the quarter, Bank of America paid a cash dividend of $0.50 per
share. The company issued approximately 30 million common shares primarily
related to employee stock options and ownership plans, and repurchased
slightly more than 83 million common shares in the second quarter of 2006.
Period-ending common shares issued and outstanding were 4.53 billion for the
second quarter of 2006, compared to 4.58 billion for the first quarter of 2006
and 4.02 billion for the second quarter of 2005.
Second Quarter 2006 Business Segment Results
Global Consumer and Small Business Banking
(Dollars in millions) Q2 2006 Q2 2005
Total Revenue(1) $10,479 $6,903
Provision for credit losses 1,029 1,155
Noninterest expense 4,546 3,347
Net Income 3,105 1,534
Efficiency ratio 43.37 % 48.47 %
Return on average equity 19.69 21.17
Loans and leases(2) $187,607 $141,353
Deposits(2) 333,999 306,521
(1) Fully taxable-equivalent basis
(2) Balances averaged for period
Revenue grew 52 percent to $10.48 billion and net income more than doubled
to $3.11 billion. Last year's second quarter results did not include MBNA. On
a pro forma basis (including MBNA's second quarter of 2005 results), revenue
increased 10 percent while net income increased 42 percent.
Results were driven by increased service charges due to new account
growth, higher debit card income due to increased usage and higher credit card
income as Bank of America's combination with MBNA continued to exhibit
positive results. Mortgage reported lower results primarily resulting from
margin compression caused by higher interest rates as compared to the second
quarter of 2005.
- Deposits revenue increased 16 percent to $4.29 billion compared to the
second quarter of 2005, while net income increased 30 percent to $1.33
billion. On a pro forma basis, deposits revenue increased 15 percent
compared to the second quarter of 2005, while net income increased 27
percent.
- Card Services had revenue of $5.47 billion, an increase of 163 percent
compared to the second quarter of 2005. Net income increased tenfold to
$1.6 billion, compared to $137 million. On a pro forma basis, Card
Services recorded an increase in revenue of 18 percent compared to the
second quarter of 2005, while net income more than doubled.
- Home Equity had revenue of $366 million, an increase of 7 percent from
the second quarter of 2005. Net income increased 18 percent to $128
million. On a pro forma basis, there was no material impact on either
revenue or net income.
- Mortgage had revenue of $344 million compared to $411 million in the
second quarter of 2005 and net income of $66 million compared to $97
million a year ago. On a pro forma basis, both revenue and net income
recognized slightly larger declines, as pro forma revenue for the
second quarter of 2005 was $424 million and pro forma net income was
$106 million a year ago.
- ALM/Other had revenue of $15 million compared to $383 million in the
second quarter of 2005 and a net loss of $65 million compared to net
income of $169 million in the second quarter of 2005. On a pro forma
basis, revenue was $422 million while net income was $194 million in
second quarter of 2005.
Global Corporate and Investment Banking
(Dollars in millions) Q2 2006 Q2 2005
Total Revenue(1) $5,717 $4,908
Provision for credit losses 41 (249)
Noninterest expense 2,956 2,603
Net Income 1,716 1,705
Efficiency ratio 51.71 % 53.02 %
Return on average equity 15.94 16.62
Loans and leases(2) $243,140 $207,927
Deposits(2) 205,263 191,471
Trading-related assets(2) 332,688 332,432
(1) Fully taxable-equivalent basis
(2) Balances averaged for period
Revenue increased 16 percent to $5.72 billion from $4.91 billion. Net
income was essentially flat at $1.72 billion. Loan growth helped mitigate the
effects of a flattening yield curve.
The growth in revenue was fueled by increased capital markets activity.
Capital Markets and Advisory Services benefited from positive sales and
trading results in Liquid Products, Credit Products and Structured Products as
previous investments in personnel and trading infrastructure came to fruition.
Investment Banking benefited from increased market activity and continued
leadership in leveraged debt underwriting. Treasury Services benefited from
increased net interest income due to higher short-term interest rates.
Net income was impacted by increased provision expense primarily in
Business Lending and increased performance-based compensation in Capital
Markets and Advisory Services. Provision expense rose primarily due to the
absence this quarter of benefits from the release of reserves in 2005 related
to reduced uncertainties associated with the FleetBoston credit integration.
- Capital Markets and Advisory Services had revenue of $2.12 billion, an
increase of 39 percent from the second quarter of 2005. Net income
increased 57 percent to $504 million.
- Business Lending had revenue of $1.51 billion, slightly higher than the
second quarter of 2005. Net income decreased to $589 million from $789
million, primarily due to the provision benefits in 2005.
- Treasury Services had revenue of $1.70 billion, an increase of
15 percent from the second quarter of 2005. Net income increased
26 percent to $559 million.
- ALM/Other had revenue of $383 million and net income of $64 million.
Global Wealth and Investment Management
(Dollars in millions) Q2 2006 Q2 2005
Total Revenue(1) $1,955 $1,790
Provision for credit losses (40) (9)
Noninterest expense 991 929
Net Income 634 556
Efficiency ratio 50.68 % 51.91 %
Return on average equity 25.76 21.64
Loans and leases(2) $60,412 $53,047
Deposits(2) 114,195 120,256
(in billions) At 6/30/06 At 6/30/05
Assets under management $500.1 $442.8
(1) Fully taxable-equivalent basis
(2) Balances averaged for period
Revenue increased 9 percent and net income rose 14 percent from a year
ago. Results were driven by higher asset management fees, higher loan volume
and higher deposit spreads, as well as continued migration of certain banking
relationships from Global Consumer and Small Business Banking.
Asset management fees increased 11 percent from the second quarter of 2005
due to higher assets under management balances driven by total net asset
inflows of $42 billion in addition to increased market values of $15 billion.
- Premier Banking & Investments had revenue of $732 million, an increase
of 20 percent from the second quarter of 2005. Net income increased
34 percent to $254 million.
- The Private Bank had revenue of $549 million, a slight increase from
the second quarter of 2005. Net income increased 25 percent to $195
million.
- Columbia Management had revenue of $377 million, an increase of
15 percent from the second quarter of 2005. Net income increased
29 percent to $81 million.
- ALM/Other had revenue of $297 million and net income of $104 million.
All Other
All Other reflected $20 million of net income for the quarter, compared to
$862 million in the second quarter of 2005. In 2005 All Other benefited from
the results of the ALM process, including the change in the value of
derivatives used as economic hedges that did not qualify for SFAS 133 and the
sale of whole loans. The second quarter of 2006 included losses on sales of
debt securities of $6 million, compared to gains on sales of debt securities
of $204 million in the second quarter of 2005. Equity investment gains in this
segment were $524 million compared to $479 million in the second quarter of
2005.
Note: Al de Molina, chief financial officer, will discuss second quarter
2006 results in a conference call at 10 a.m. (Eastern Time) today. The call
can be accessed via a webcast available on the Bank of America Web site at
http://investor.bankofamerica.com.
Bank of America is one of the world's largest financial institutions,
serving individual consumers, small and middle market businesses and large
corporations with a full range of banking, investing, asset management and
other financial and risk-management products and services. The company
provides unmatched convenience in the United States, serving more than 54
million consumer and small business relationships with more than 5,700 retail
banking offices, nearly 17,000 ATMs and award-winning online banking with more
than 19.8 million active users. Bank of America is the No. 1 overall Small
Business Administration (SBA) lender in the United States and the No. 1 SBA
lender to minority-owned small businesses. The company serves clients in 175
countries and has relationships with 98 percent of the U.S. Fortune 500
companies and 79 percent of the Global Fortune 500. Bank of America
Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
Forward-Looking Statements
This press release contains forward-looking statements, including
statements about the financial conditions, results of operations and earnings
outlook of Bank of America Corporation. The forward-looking statements
involve certain risks and uncertainties. Factors that may cause actual
results or earnings to differ materially from such forward-looking statements
include, among others, the following: 1) projected business increases
following process changes and other investments are lower than expected; 2)
competitive pressure among financial services companies increases
significantly; 3) general economic conditions are less favorable than
expected; 4) political conditions including the threat of future terrorist
activity and related actions by the United States abroad may adversely affect
the company's businesses and economic conditions as a whole; 5) changes in the
interest rate environment reduce interest margins and impact funding sources;
6) changes in foreign exchange rates increases exposure; 7) changes in market
rates and prices may adversely impact the value of financial products; 8)
legislation or regulatory environments, requirements or changes adversely
affect the businesses in which the company is engaged; 9) changes in
accounting standards, rules or interpretations, 10) litigation liabilities,
including costs, expenses, settlements and judgments, may adversely affect the
company or its businesses; 11) mergers and acquisitions and their integration
into the company; and 12) decisions to downsize, sell or close units or
otherwise change the business mix of any of the company. For further
information regarding Bank of America Corporation, please read the Bank of
America reports filed with the SEC and available at www.sec.gov.
Please consider the investment objectives, risks, charges and expenses of
Columbia mutual funds carefully before investing. Contact your financial
advisor for a prospectus which contains this and other important information
about the fund. Read it carefully before you invest.
Columbia Management is the primary investment management division of Bank
of America Corporation. Columbia Management entities furnish investment
management services and advise institutional and mutual fund portfolios.
Columbia Funds are distributed by Columbia Management Distributors, Inc.,
member NASD, SIPC. Columbia Management Distributors, Inc. is part of Columbia
Management and an affiliate of Bank of America Corporation.
Bank of America
Selected Financial Data (1)
(Dollars in millions, except per share data; shares in thousands)
Three Months Six Months
Ended June 30 Ended June 30
2006 2005 2006 2005
Financial Summary
Earnings $5,475 $ 4,657 $ 10,461 $9,050
Earnings per common
share 1.21 1.16 2.29 2.25
Diluted earnings per
common share 1.19 1.14 2.25 2.21
Dividends paid per
common share 0.50 0.45 1.00 0.90
Closing market price
per common share 48.10 45.61 48.10 45.61
Average common shares
issued and
outstanding 4,534,627 4,005,356 4,572,013 4,019,089
Average diluted
common shares
issued and
outstanding 4,601,169 4,065,355 4,636,959 4,081,921
Summary Income Statement
Net interest income $8,630 $ 7,637 $ 17,406 $15,143
Total noninterest
income 9,598 6,955 18,499 12,987
Total revenue 18,228 14,592 35,905 28,130
Provision for credit
losses 1,005 875 2,275 1,455
Gains (losses) on sales of
debt securities (9) 325 5 984
Other noninterest
expense 8,523 6,898 17,349 13,843
Merger and
restructuring charges 194 121 292 233
Income before
income taxes 8,497 7,023 15,994 13,583
Income tax expense 3,022 2,366 5,533 4,533
Net income $5,475 $4,657 $10,461 $9,050
Summary Average Balance Sheet
Total loans and
leases $635,649 $520,415 $625,863 $522,656
Securities 236,967 227,182 235,793 215,940
Total earning assets 1,253,895 1,118,518 1,236,848 1,081,908
Total assets 1,456,004 1,277,478 1,436,298 1,239,380
Total deposits 674,796 640,593 667,350 634,043
Shareholders' equity 127,373 98,829 129,253 99,114
Common shareholders'
equity 127,102 98,558 128,981 98,842
Performance Ratios
Return on average
assets 1.51% 1.46% 1.47% 1.47%
Return on average
common shareholders'
equity 17.26 18.93 16.34 18.44
Return on average
tangible common
shareholders' equity 36.05 35.09 33.55 34.09
Credit Quality
Net charge-offs $1,023 $880 $1,845 $1,769
Annualized net
charge-offs as a %
of average loans
and leases
outstanding 0.65% 0.68% 0.59% 0.68%
Managed credit card
net losses as a %
of average
managed credit
card receivables 3.67 6.23 3.39 6.20
At June 30
2006 2005
Balance Sheet Highlights
Loans and leases $667,953 $529,428
Total securities 235,846 233,586
Total earning assets 1,245,274 1,086,676
Total assets 1,445,193 1,246,339
Total deposits 676,865 635,417
Total shareholders'
equity 127,841 101,335
Common shareholders'
equity 127,570 101,064
Book value per share 28.17 25.16
Tangible equity
ratio(2) 3.76% 4.38%
Risk-based capital ratios:
Tier 1 8.33* 8.16
Total 11.25* 11.23
Leverage ratio 6.13* 5.66
Period-end common shares
issued and
outstanding 4,527,941 4,016,704
Allowance for credit losses:
Allowance for loan
and lease losses $9,080 $ 8,319
Reserve for unfunded
lending commitments 395 383
Total $9,475 $ 8,702
Allowance for loan and
lease losses as a % of
total loans and leases 1.36% 1.57%
Allowance for loan and
lease losses as a % of
total nonperforming
loans and leases 579 470
Total nonperforming
loans and leases $1,567 $ 1,770
Total nonperforming
assets 1,641 1,895
Nonperforming assets as a % of:
Total assets 0.11% 0.15%
Total loans, leases and
foreclosed properties 0.25 0.36
Nonperforming loans and
leases as a % of total
loans and leases 0.23 0.33
Other Data
Full-time equivalent
employees 201,898 178,107
Number of banking
centers - domestic 5,779 5,880
Number of branded
ATMs - domestic 16,984 16,687
* Preliminary data
Information for periods beginning January 1, 2006 includes the MBNA
acquisition; prior periods have not been restated.
BUSINESS SEGMENT RESULTS
Global Global Global
Consumer and Corporate Wealth and
Small Business and Investment Investment All
Banking Banking Management Other
Three Months Ended June 30, 2006
Total revenue
(FTE)(3) $10,479 $5,717 $1,955 $ 373
Net income 3,105 1,716 634 20
Shareholder value added 1,750 574 382 (152)
Return on average
equity 19.69% 15.94% 25.76% n/m
Average loans and
leases $187,607 $243,140 $ 60,412 $ 144,490
Three Months Ended June 30, 2005
Total revenue (FTE)(3) $6,903 $4,908 $1,790 $1,182
Net income 1,534 1,705 556 862
Shareholder value added 876 620 293 449
Return on average
equity 21.17% 16.62% 21.64% n/m
Average loans and
leases $141,353 $207,927 $53,047 $118,088
Six Months Ended June 30, 2006
Total revenue (FTE)(3) $20,651 $11,277 $3,923 $ 614
Net income 5,775 3,299 1,248 139
Shareholder value added 3,023 1,037 718 (287)
Return on average equity 18.10 15.47 24.15 n/m
Average loans and
leases $187,108 $239,996 $ 59,594 $ 139,165
Six Months Ended June 30, 2005
Total revenue (FTE)(3) $13,762 $10,354 $3,603 $802
Net income 3,416 3,553 1,139 942
Shareholder value added 2,120 1,367 628 110
Return on average equity 23.81 17.18 22.77 n/m
Average loans and
leases $140,508 $206,947 $51,946 $123,255
n/m = not meaningful
Three Months Ended Six Months Ended
June 30 June 30
2006 2005 2006 2005
SUPPLEMENTAL FINANCIAL DATA
Fully taxable-equivalent basis data (3)
Net interest income $8,926 $7,828 $17,966 $15,534
Total revenue 18,524 14,783 36,465 28,521
Net interest yield 2.85% 2.80% 2.91% 2.88%
Efficiency ratio 47.06 47.49 48.38 49.36
Reconciliation of net income to operating earnings
Net income $5,475 $4,657 $10,461 $9,050
Merger and
restructuring charges 194 121 292 233
Related income tax
benefit (71) (41) (108) (78)
Operating earnings $5,598 $4,737 $10,645 $9,205
Operating Basis
Diluted earnings per
common share $1.22 $1.16 $2.29 $ 2.25
Return on average assets 1.54% 1.49% 1.49% 1.50%
Return on average common
shareholders' equity 17.65 19.26 16.63 18.76
Return on average
tangible common
shareholders' equity 36.85 35.70 34.14 34.68
Efficiency ratio 46.01 46.67 47.58 48.54
Reconciliation of net income to shareholder value added
Net income $5,475 $ 4,657 $ 10,461 $9,050
Amortization of
intangibles 441 204 881 412
Merger and restructuring
charges, net of tax
benefit 123 80 184 155
Capital charge (3,485) (2,703) (7,035) (5,392)
Shareholder value added $2,554 $ 2,238 $4,491 $4,225
(1) Certain prior period amounts have been reclassified to conform to
current period presentation.
(2) Tangible equity ratio equals shareholders' equity less goodwill, core
deposit intangibles and other intangibles divided by total assets less
goodwill, core deposit intangibles and other intangibles.
(3) Fully taxable-equivalent (FTE) basis is a performance measure used by
management in operating the business that management believes provides
investors with a more accurate picture of the interest margin for
comparative purposes.
Information for periods beginning January 1, 2006 includes the MBNA
acquisition; prior periods have not been restated.
SOURCE Bank of America
/CONTACT: Investors, Kevin Stitt, +1-704-386-5667, or Lee McEntire,
+1-704-388-6780, or Leyla Pakzad, +1-704-386-2024, or Media, Terry Francisco,
+1-704-386-4343, all of Bank of America /
|
Bank of America Corporation
