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Bank of America Announces the Redemption of $3.9 Billion of Trust Preferred Securities

Friday, June 22, 2012 4:01 pm EDT

Dateline:

CHARLOTTE, N.C.

Public Company Information:

NYSE:
BAC
"This action reflects the work we've done to build record levels of capital and liquidity"

Bank of America Corporation announced it has submitted redemption notices to the property trustee for each trust listed in the table below, which will result in the redemption of all of the trust preferred securities of each such trust on July 25, 2012. The trust preferred securities will be redeemed at the applicable redemption price (as a percentage of the liquidation preference) listed in the table below, plus accrued and unpaid distributions to the redemption date. All of the redemptions are being effected under the optional redemption provisions applicable to the trust preferred securities of each trust, and not pursuant to redemption provisions relating to the determination of the occurrence of a “Capital Treatment Event.”

Bank of America has received all necessary approvals for these redemptions. These redemptions will be funded with excess liquidity. “This action reflects the work we've done to build record levels of capital and liquidity,” said Chief Financial Officer Bruce Thompson. “We continue to look to optimize the balance sheet.”

CUSIP   Trust  

Title of Security

  NYSE Ticker Symbol   Aggregate Liquidation Pref. Outstanding   Redemption Price   Accrued Distributions per Security   Trustee/Paying Agent
055189203 BAC Capital Trust X 6¼% Capital Securities BAC Pr B $888,400,000
($25 per Security)
100% $ 0.112847 The Bank of New York Mellon
 
066048AA7 BankAmerica Capital II 8% Cumulative Semi-Annual Income Preferred Securities,
Series 2
$450,000,000
($1,000 per Security)
101.9845% $ 8.888889 Deutsche Bank Trust Company Americas
 
06605HAA6 BankAmerica Institutional Capital A 8.07% Capital Securities, Series A $450,000,000
($1,000 per Security)
102.0175% $ 5.604167 Deutsche Bank Trust Company Americas
 
338899AA5 Fleet Capital Trust II 7.92% Capital Securities $203,280,000
($1,000 per Security)
101.954% $ 8.800000 The Bank of New York Mellon
 
33889X203 Fleet Capital Trust VIII 7.20% Preferred Securities FBF PrM $534,000,000
($25 per Security)
100% $ 0.200000 The Bank of New York Mellon
 
33889Y201 Fleet Capital Trust IX 6.000% Preferred Securities FBF PrN $172,525,000
($25 per Security)
100% $ 0.350000 The Bank of New York Mellon
 
55263BAA9 MBNA Capital A 8.278% Capital Securities, Series A BAC/26 $250,000,000
($1,000 per Security)
102.0695% $ 12.417000 The Bank of New York Mellon
 
55266J200 MBNA Capital D 8.125% Trust Preferred Securities, Series D KRB Pr D $300,000,000
($25 per Security)
100% $ 0.135417 The Bank of New York Mellon
 
55270B201 MBNA Capital E 8.10% Trust Originated Preferred Securities, Series E KRB Pr E $200,000,000
($25 per Security)
100% $ 0.393750 The Bank of New York Mellon
 
62874HAA3 NB Capital Trust IV 8¼% Capital Securities $426,684,000
($1,000 per Security)
101.92% $ 22.916667 The Bank of New York Mellon
 
74325VAC8 Progress Capital Trust I 10.50% Capital Securities $8,750,000
($1,000 per Security)
102.625% $ 15.750020 The Bank of New York Mellon

The addresses of the Trustees/Paying Agents for the trusts listed in the table above are as follows:

The Bank of New York Mellon
101 Barclay Street, 8 West
New York, New York 10286
 
Deutsche Bank Trust Company Americas

60 Wall Street, 27th Floor

New York, New York 10005

Bank of America

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 approximately 57 million consumer and small business relationships with approximately 5,700 retail banking offices and approximately 17,250 ATMs and award-winning online banking with 30 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

Forward-Looking Statements

Certain statements in this news release represent the current expectations, plans or forecasts of Bank of America and are forward-looking. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. These statements often use words like “expects,” “anticipates,” “believes,” “estimates,” “targets,” “intends,” “plans,” “predict,” “goal” and other similar expressions or future or conditional verbs such as “will,” “may,” “might,” “should,” “would” and “could.” Forward-looking statements speak only as of the date they are made, and Bank of America undertakes no obligation to update any forward-looking statement to reflect the impact of circumstances or events that arise after the date the forward-looking statement was made.

These statements are not guarantees of future results or performance and involve certain risks, uncertainties and assumptions that are difficult to predict and are often beyond Bank of America’s control. Actual outcomes and results may differ materially from those expressed in, or implied by, any of these forward-looking statements. You should not place undue reliance on any forward-looking statement and should consider all of the uncertainties and risks discussed under Item 1A. “Risk Factors” of Bank of America’s Annual Report on Form 10-K for the year ended December 31, 2011 and in any of Bank of America’s other subsequent Securities and Exchange Commission filings.

For more Bank of America news, visit the Bank of America newsroom.

www.bankofamerica.com

Contact:

Investors May Contact:
Patricia Noneman, Bank of America, 1.980.388.3591
Jonathan G. Blum, Bank of America, 1.212.449.3112
Reporters May Contact:
Jerry Dubrowski, Bank of America, 1.980.388.2840
jerome.f.dubrowski@bankofamerica.com