Posts Tagged ‘Bank of America’

Bank of America Opposes Arizona AG’s Bid to Interview Ex-Workers

Bank of America Corp. (BAC) opposes a request by the Arizona attorney general’s office to interview former employees as part of a state lawsuit against the bank over mortgage modifications.

The state is seeking court approval to conduct interviews with non-management former employees without bank attorneys present so it can “fully investigate” Bank of America’s practices, according to court papers.

Full Story: Bloomberg

Bank Of America Announces Huge Mortgage Settlement, And Big Loss In The Coming Quarter

As was originally reported last night, Bank of America is announcing a big settlement over bad mortgages, and that will lead to a big loss this quarter.Here’s the key part from the announcement:

The agreement includes a cash payment of $8.5 billion to the covered trusts to be made after final court approval of the settlement. Bank of America also intends to record an additional $5.5 billion provision to its representations and warranties liability for both Government-Sponsored Enterprises (GSE) and non-GSE exposures in the second quarter of 2011.
Read more: http://www.businessinsider.com/bank-of-america-announces-settlement-2011-6#ixzz1Qh27aWCa

Bank Of America’s Mortgage Mess Intensifies

Countrywide Financial is like a bad virus Bank of America can’t seem to shake- and a pricey one at that.

The worst acquisition ever made by Bank of America continues to hurt the bank’s chances of a full recovery. The remnants of the Countrywide deal are still being felt as Sanford C. Bernstein analysts noted that BofA could face another $27 billion of housing losses between now and 2013. That’s on top of the $46 billion the bank has put up so far.

Read more…

Bank of America House of Cards on the Verge of Collapse

A House of Cards
Over the past several years, Bank of America has relied on mergers and acquisitions (M&A) for growth. And now many of the businesses the company absorbed are struggling with economic conditions tougher than expected.

BofA has grown into one of the largest owners of private homes in America due to massive amounts of foreclosures. This leaves the company open to additional declines in housing values. And Robert Shiller, the economist who co-founded the S&P/Case-Shiller index of U.S. home prices, said just last week that a further decline in property values of 10% to 25% over the next five years would not be surprising. Read more…