The BofA Split-Up? Up to 600 Branch Closings

[marmar]

from 24/7WallStreet:



The BofA Split-Up? Up to 600 Branch Closings (BAC)
Posted: September 8, 2011 at 9:06 am


To say that Bank of America Corporation (NYSE: BAC) is under pressure remains the understatement of 2011. The DJIA industrial average component is under attack from every angle. It is now under attack from within to bring in costs, drive profitability, and to scrap what needs to be scrapped.

A local news report out of Charlotte, North Carolina, which we might discount except for the fact that this is BofA’s headquarter city, is outlining the coming changes at BofA. The split into two units is the move to a commercial bank and to a consumer bank is underway. We have no word about any formal break-up as this is still a part of the reorganization efforts underway. Earlier this week the management shakeup signaled the coming changes.

WCNC showed that as many as 600 branches will be closed. Please note: WCNC has issued a retraction on its figures regarding any split and noted that this branch count was outlined in March. WCNC’s retraction further noted: “A CNN newswire service we subscribe to indicated that Bank of America was splitting into two units — consumer and commercial… The CNN report we gave you is not correct, according to a spokesperson from Bank of America… There are no new branches shutting down just the original 600 reported back in March… We apologize for this error.”

This retraction changes nothing by our take. Our original report already put out that BofA had signaled that its branch count was under review earlier this year, which would also mean that even more layoffs are heading the way of BofA’s ranks. WCNC may have gotten that count wrong this morning as a ‘recount’ but our take is that regardless of what the bank says that more closures seem likely. We recently noted that it could be as many as 30,000 jobs in the years ahead. .........(more)

The complete piece is at: http://247wallst.com/2011/09/08/the-bofa-split-up-up-to-600-branch-closings-bac/#ixzz1XT9mdlaz

[Ineeda]

1. The BoA where I live just underwent a

total renovation - exterior and interior, both quite 'nicely' done. It undoubtedly cost millions. So I'd guess this one won't be closing.

[Shagbark Hickory]

4. That's usually when they close stuff though. Right after they get thru spending millions to remodel

it n/t

[Divine Discontent]

2. all these businesses keep saying they need to scrap what needs to be scrapped and removed

but it's all for the shareholders... this country is screwed up because everything is driven by how much can we make in profit, regardless of what we do to the country. Joe Smoe wants to be a millionaire by 30 and a billionaire by 50, so they screw everything for "profit" at any cost. wall st and speculation is a fraudulent activity.

[AngryAmish]

3. B of A is screwed because the government told them to buy Merrill Lynch