Up Or Down, People Find Sport In Kicking Brian Moynihan

Mike Mayo knows what we're talking about.
Author:
Updated:
Original:

Really, guys? You made him fucking cry this time.

As we’vediscussed at greatlength, for someone who managed to become the chairman and CEO of a pretty major bank, thingsdon’t come easily to Brian Moynihan. Indeed, before he could even break out BofA’s allotment of Party City IPO party hats and festive crepe paper to celebrate an honest-to-goodness, bona fide profit, people were already doing rudethings all over his precious first-quarter results. Like Mike Mayo pointedly (and repeatedly) asking him to justify BofA’s very existence. Things like that.

Mr. Mayo questioned Mr. Moynihan on why the bank has not offered up more information on the “trade-offs of the business model.” He contrasted Bank of America’s reticence on the topic to that of J.P. Morgan, where executives have spent time outlining to investors why the bank should be able to generate better earnings over time as a single unit and included several slides on the topic at its February investor day….

By his estimates, Mr. Mayo calculates that Bank of America currently trades at more than a 30% discount to where it would as a sum of its parts. He admits that that’s true of all the largest banks, but said “ultimately it comes down to management.”

“Can management optimize a franchise this large and complex? It’s not clear, so at least let’s see the info so investors can better analyze the situation,” Mr. Mayo said.

Conversation Now Turns to Breaking Up Bank of America [WSJ MoneyBeat blog]
Bank of America Results Highlight Challenges [WSJ]
Why Bank of America’s $3.4 billion in earnings wasn’t that impressive [Fortune]

Related

Brian Moynihan’s Losing Streak Alive And Well

He's been asked to prepare some remarks re: why Bank of America, in its current form, should exist period.

brimo-bad-trip

Brian Moynihan Will Have You Know That He's Fired Thousands Of People, Like A MAN

BriMo would like everyone to know that he might run a bank, but he fired an airline.

You'll Have To Excuse Brian Moynihan If He Feels The Urge To Jerk The Wheel Into A God Damn Bridge Abutment Every Time He Drives Down The Road

The Bank of America chief's internal monologue right now is probably going something like "Forget it, I quit, I can’t do this anymore, man. My head’s about to explode. My whole life sucks! I don’t know what I’m doing, I don’t know where I’m going. We just killed Bambi and I’m out here getting my ass kicked!"

Brian Katt at the English language Wikipedia [GFDL, CC-BY-SA-3.0 or GFDL], via Wikimedia Commons

Brian Moynihan’s Relatives Can Start Banking With Him Later This Year

At least they can if they’re willing to drive to Cleveland or Columbus.