“Some blogs are speculating about rumors of merger talks with J.P. Morgan Chase, which are baseless and don’t even make practical sense,” the bank’s communications department said in a memo to employees yesterday that was obtained by Bloomberg. Jerry Dubrowski, a spokesman at Bank of America, confirmed the contents of the memo. The memo also rebutted a blog’s suggestion that Charlotte, North Carolina-based Bank of America needs to raise as much as $200 billion as “just wrong.” “We have a clear path to meet the new regulatory requirements under Basel III and we intend to meet these standards without having to issue additional common stock,” according to the memo. [Bloomberg, earlier]
Whistleblowing Bank Of America Quite A Bit More Lucrative Than Working For Bank Of America
Just something to keep in mind. A former Countrywide Financial Corp. manager whose fraud suit contributed to the mortgage industry’s $25 billion settlement with federal and state regulators received about $14.5 million for his efforts, his lawyers said. Kyle Lagow, an appraisal manager for Countrywide from 2004 to 2008, claimed that Countrywide inflated the value of homes to support bigger loans, according to a statement today from Seattle-based law firm Hagens Berman. Charlotte, North Carolina- based Bank of America bought Countrywide in 2008 to save it from collapse as defaults on home loans soared. Lagow’s information helped prompt a $1 billion settlement of Federal Housing Administration claims announced by Bank of America in February, according to the law firm. The sum was included in the nationwide settlement reached that month. [Bloomberg]
Bank Of America Doesn't Understand That Junior Mistmakers Are Special
If it did, the BAC would be treating its li'l bankers as though they were individuals with unique talents rather than lumping them together and calling them all by the same name. Anyway, here are a few more details about Brian Moynihan et al's plan (announced yesterday) to fire a bunch of senior people and bus teams of junior employees around wherever they're needed to pick up the slack. From the front lines: "Worord is BofA will merge junior banker resources into several broad "superpods" across the bank. Appears to affect analysts, associates, and some VPs. Also some rumors that the juniors making up the superpods might be co-located. Essentially they just became that much more interchangeable and replaceable and commodified. Politics and turf battles here between groups are pretty bad as it is...this is only going to make it 5000x worse."