Bank of America Announces the Redemption of $5.133 Billion of Trust Securities

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Bank of America Announces the Redemption of $5.133 Billion of Trust Securities

CHARLOTTE, N.C.--(BUSINESS WIRE)-- Bank of America Corporation announced that it will submit 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. The redemption date for the Floating Rate Preferred Securities issued by Progress Capital Trust III is November 15, 2012. The redemption date for all other trust preferred securities in the table below is November 5, 2012. The trust preferred securities will be redeemed at the applicable redemption price (as a percentage of the liquidation amount) listed in the table below, plus accrued and unpaid distributions on the trust preferred securities to the redemption date also listed in the table below.

CUSIP No.

  Trust  Title of Security  

NYSE

 Ticker

Symbol

  

Aggregate Liquidation

Amount Outstanding

  Redemption Price  

Accrued and

Unpaid

Distributions


per Security

  Trustee/Paying Agent
055187207BAC Capital Trust I7% Capital SecuritiesBAC PrW$574,438,900
($25 per Security)
100%$0.243056

The Bank of New York

Mellon Trust Company, N.A.

055188205BAC Capital Trust II7% Capital SecuritiesBAC PrV$897,875,000
($25 per Security)
100%$0.019444

The Bank of New York

Mellon Trust Company, N.A.

05518E202BAC Capital Trust III7% Capital SecuritiesBAC PrX$499,500,000
($25 per Security)
100%$0.388889

The Bank of New York

Mellon Trust Company, N.A.

055185201BAC Capital Trust IV

5 7/8% Capital

Securities

BAC PrU$352,525,000
($25 per Security)
100%$0.016319

The Bank of New York

Mellon Trust Company, N.A.

055184204BAC Capital Trust V6% Capital SecuritiesBAC PrY$496,825,000
($25 per Security)
100%$0.008333

The Bank of New York

Mellon Trust Company, N.A.

05633T209BAC Capital Trust XII

6 7/8% Capital

Securities

BAC PrC$862,500,000
($25 per Security)
100%$0.014323

The Bank of New York

Mellon Trust Company, N.A.

065912AA5

BankAmerica

Institutional Capital B

7.7% Capital

Securities, Series B

$300,000,000
($1,000 per Security)
101.8893%$26.736111

Deutsche Bank Trust

Company Americas

628958AB6NB Capital Trust II

7.83% Capital

Securities

$289,119,000
($1,000 per Security)
101.958%$30.450000

The Bank of New York

Mellon Trust Company, N.A.

74326WAA9Progress Capital Trust III

Floating Rate Preferred
Securities

$10,000,000
($1,000 per Security)
100%(1)

The Bank of New York

Mellon Trust Company, N.A.


__________
(1) Accrued quarterly distributions of $9.46125 per security will be paid on November 15, 2012 to holders of record on October 31, 2012 in the customary manner.

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

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

New York, New York 10286

60 Wall Street, 27th Floor

New York, New York 10005

In addition, Bank of America announced that redemption notices will be submitted that will result in the redemption of $850 million aggregate liquidation preference amount outstanding of the 6.523% Fixed/Floating Noncumulative Trust Securities (CUSIP No. 003723AA1) of ABN AMRO North America Preferred Capital Repackaging Trust I. The redemption date for these securities is April 3, 2013, and the cash redemption price to be paid on the redemption date will be 100% of the liquidation preference amount of the trust securities, plus accrued and unpaid distributions to the redemption date. The Paying Agent for these trust securities is The Bank of New York Mellon, 101 Barclay Street, 8 West, New York, New York 10286.

Redemption of all of the trust securities referenced above is expected to result in a charge of approximately $100 million (pre tax) for the fourth quarter of 2012, and net interest income (pre tax) savings of approximately $50 million for the fourth quarter of 2012 and approximately $300 million for 2013.

All of the redemptions are being effected under the optional redemption provisions applicable to the trust 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.

About 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 56 million consumer and small business relationships with approximately 5,600 retail banking offices and approximately 16,200 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 (NYS: 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 based on available information and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. 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." The forward-looking statements made in this news release include, without limitation, statements concerning: the expected fourth quarter 2012 charge of approximately $100 million (pre tax); the expected fourth quarter 2012 and 2013 net interest income (pre tax) savings of approximately $50 million and approximately $300 million, respectively; and the expectation to fund the redemptions with existing cash. 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 following uncertainties and risks, as well as those 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: unexpected cash funding needs; and the accuracy of estimates for net interest income savings.

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

www.bankofamerica.com



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

KEYWORDS:   United States  North America  North Carolina

INDUSTRY KEYWORDS:

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