Bank Of America Could Cut 30,000

[marmar]

from 24/7WallStreet:



Bank Of America Could Cut 30,000
Posted: September 4, 2011 at 8:46 am


If it is true, it would be another sign of desperation. The Charlotte Observer reports that Bank of America (NYSE: BAC) could lay-off 30,000 people over several years.

The bank has come under new pressure as the government announced a suit against 17 financial firms which it claims misrepresented the risk of mortgage-back securities they sold to Fannie Mae and Freddie Mac. The total losses from these was $200 billion. The possibility that the government can recoup of all that is unknown.

Bank of America (NYSE: BAC) has been rumored to need over $100 billion in new capital. There have also been rumors that the firm could be taken over by JP Morgan or another large American bank. B of A has attacked these as false, but its share price has done little to allay fears. The stock fell to $6.01 three weeks ago. Warren Buffett invested $5 billion in the bank which cause share to rally. Subsequent bad news pushed shares, which had recovered to $8.39, back to $7.25. The stock’s 52-week high is $15.31.

Bank of America can continue to deny it will need to raise large sums of money, an act which would nearly wipe out common shareholders. The firm’s stock says many investors have bet otherwise

-- Douglas A. McIntyre


http://247wallst.com/2011/09/04/bank-of-america-could-cut-30000/#ixzz1X52ixoVe

[durablend]

1. My heart BLEEDS for BofA

Maybe they can go foreclose on some more houses they don't own to make the money

:sarcasm:

[TBF]

2. Couldn't happen to a "nicer" company -

I'd love to see those assholes file bankruptcy after all they have put people through.

[Broderick]

3. I smell bailout

How can it be that you got personal service at these banks, no large fees on returned checks, no monthly fees to have the darn account, places you used your card at weren't charged large fees for use - but now they are having problems and the fees are mind boggling along with long lines because of lack of people in the bank.

[customerserviceguy]

8. Long lines?

Who the hell is waiting in line at a bank anymore? For the few checks that I still get (the occasional rebate check, mostly) I just stick them in the ATM for deposit. I don't feel sorry for the nervous nellies who insist on handing those checks to a teller.

With direct deposit, ATM's and electronic banking, there's just no real reason to go into a bank branch once you have an account fully set up and running.

[Broderick]

9. Lots of people wait in lines

Do you think elderly people use computers as a majority. Business owners dropping off deposits? Workers without checking accounts cashing their payroll checks? I am so glad to know the elitist mentality lives large here. So freaking happy with you and how well you do!!!! And we wonder why we don't win more hearts and minds!

[customerserviceguy]

11. While all the folks you mention

do clog up those lines, there are alternatives. It was my mother, in her mid-70's who encouraged me to use online banking and ebills instead of writing checks. She correctly pointed out that I have a degree in network administration, and that it was foolish to not use these services, I know how secure they are.

As for the elderly who don't trust online banking, well, I've seen these same people handing over a credit card to a waiter who whisks it around a corner, out of their sight. They read the occasional horror story about some fly-by-night firm getting an unencrypted file hacked, and they think it's going to happen to them. They have just as much chance of a simple bank error happening. In fact, it is a lot easier to use a computer (with the disability enhancements Windows builds in) to pay one's bills and keep track of one's money.

There are night deposit doors for businesses to drop off deposits. And for those business owners who insist on doing it the old fashioned way, they should be grateful for everyone like me who does electronic banking, even the money I pay to them doesn't have to be sitting in that bank deposit bag.

What excuse is there for not having a checking account these days? Even if the banks won't touch you, credit unions will.

[Broderick]

12. Good Grief

you have no clue living in your perfect little bubble what life is like outside it.

[customerserviceguy]

13. Then all of the people you advocate for

should be damned glad that there are people like me, living in the modern world, not standing in the same line with them. If we 'bubble people' were still doing things the way we all did in 1973, they'd have a lot longer to wait in line.

[Fearless]

4. So we're going to break them up when? After the fallout?

Seriously. Cut your losses and break them up. Some parts of that damn bank must be solvent.

[Ilsa]

5. I got 2 or 3 offers in the mail from BofA last week. They want to loan me money

with their new credit card that offers 1-2-3% cash back on purchases-groceries-gas. The offers were shredded and disposed of properly. There is no way I'll do business with them.

[Harmony Blue]

6. Same thing happened to me

I happily moved my money to a local credit union and have been very pleased thus far.

[YellowRubberDuckie]

7. They will sell off a bunch of their mortages...

...that will start with that.

[xchrom]

10. recommend

[Johnny Harpo]

14. Watch For JPMC To Swoop In And....

gobble up BOA as soon as they begin to fall.

BOA has been on JPMC's hit list to take over for some number of years now.

[Rex]

15. BoA CEOs - thanks for all the fish!