Bank of America and its management may make certain statements that constitute "forward-looking statements" within the meaning of the Private Securities Litigation reform Act of 1995. These statements are not historical facts, but instead represent Bank of America's current expectations, plans or forecasts of its integration of the Merrill Lynch and Countrywide acquisitions and related cost savings, future results and revenues, credit losses, credit reserves and charge-offs, nonperforming asset levels, level of preferred dividends, service charges, the closing of the First Republic Bank and Columbia Management sales, effective tax rate, noninterest expense, impact of changes in fair value of Merrill Lynch structured notes, impact of SFAS 166 and 167 on capital and reserves, mortgage production and other similar matters. 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 more fully discussed under Item 1A. "Risk Factors" of Bank of America's 2008 Annual Report on Form 10-K, third quarter 2009 Quarterly Report on Form 10-Q, and in any of Bank of America's subsequent SEC filings: negative economic conditions that adversely affect the general economy, housing prices, the job market, consumer confidence and spending habits; Bank of America's modification policies and related results; the level and volatility of the capital markets, interest rates, currency values and other market indices; changes in consumer, investor and counterparty confidence in, and the related impact on, financial markets and institutions; Bank of America's credit ratings and the credit ratings of its securitizations; estimates of fair value of certain Bank of America assets and liabilities; legislative and regulatory actions in the United States (including the impact of Regulation E, the Card Act of 2009 and related regulations) and internationally; the impact of litigation and regulatory investigations, including costs, expenses, settlements and judgments; various monetary and fiscal policies and regulations of the U.S. and non-U.S. governments; changes in accounting standards, rules and interpretations (including SFAS 166 and 167) and the impact on Bank of America's financial statements; increased globalization of the financial services industry and competition with other U.S. and international financial institutions; Bank of America's ability to attract new employees and retain and motivate existing employees; mergers and acquisitions and their integration into Bank of America; Bank of America's reputation; and decisions to downsize, sell or close units or otherwise change the business mix of Bank of America. 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.
Columbia Management Group, LLC ("Columbia Management") is the primary investment management division of Bank of America Corporation. Columbia Management entities furnish investment management services and products for institutional and individual investors. Columbia Funds and Excelsior Funds are distributed by Columbia Management Distributors, Inc., member FINRA and SIPC. Columbia Management Distributors, Inc. is part of Columbia Management and an affiliate of Bank of America Corporation.
Investors should carefully consider the investment objectives, risks, charges and expenses of any Columbia Fund or Excelsior Fund before investing. Contact your Columbia Management representative for a prospectus, which contains this and other important information about the fund. Read it carefully before investing.
Bank of America Merrill Lynch is the marketing name for the global banking and global markets businesses of Bank of America Corporation. Lending, derivatives, and other commercial banking activities are performed by banking affiliates of Bank of America Corporation, including Bank of America, N.A., member FDIC. Securities, financial advisory, and other investment banking activities are performed by investment banking affiliates of Bank of America Corporation ("Investment Banking Affiliates"), including Banc of America Securities LLC, and Merrill Lynch, Pierce, Fenner & Smith Incorporated, which are both registered broker-dealers and members of FINRA and SIPC. Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured * May Lose Value * Are Not Bank Guaranteed. Bank of America Corporation's broker-dealers are not banks and are separate legal entities from their bank affiliates. The obligations of the broker-dealers are not obligations of their bank or thrift affiliates (unless explicitly stated otherwise), and these bank affiliates are not responsible for securities sold, offered or recommended by the broker-dealers. The foregoing also applies to our other non-bank, non-thrift affiliates.
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Bank of America Corporation and Subsidiaries
Selected Financial Data
(Dollars in millions, except per share data; shares in thousands)
Summary Income
Statement Three Months Ended Year Ended
December 31 December 31
2009 2008 2009 2008
---- ---- ---- ----
Net interest income $11,559 $13,106 $47,109 $45,360
Noninterest income 13,517 2,574 72,534 27,422
Total revenue, net
of interest expense 25,076 15,680 119,643 72,782
Provision for credit
losses 10,110 8,535 48,570 26,825
Noninterest expense,
before merger and
restructuring charges 15,852 10,641 63,992 40,594
Merger and
restructuring charges 533 306 2,721 935
Income (loss) before
income taxes (1,419) (3,802) 4,360 4,428
Income tax expense
(benefit) (1,225) (2,013) (1,916) 420
Net income (loss) $(194) $(1,789) $6,276 $4,008
Preferred stock
dividends and
accretion (1) 5,002 603 8,480 1,452
Net income (loss)
applicable to
common
shareholders $(5,196) $(2,392) $(2,204) $2,556
Earnings (loss) per
common share $(0.60) $(0.48) $(0.29) $0.54
Diluted earnings (loss)
per common share (0.60) (0.48) (0.29) 0.54
Summary Average
Balance Sheet Three Months Ended Year Ended
December 31 December 31
2009 2008 2009 2008
---- ---- ---- ----
Total loans and
leases $905,913 $941,563 $948,805 $910,878
Debt securities 279,231 280,942 271,048 250,551
Total earning assets 1,807,898 1,616,673 1,830,193 1,562,729
Total assets 2,421,531 1,948,854 2,437,517 1,843,979
Total deposits 995,160 892,141 980,966 831,144
Shareholders' equity 250,599 176,566 244,645 164,831
Common shareholders'
equity 197,123 142,535 182,288 141,638
Performance Ratios Three Months Ended Year Ended
December 31 December 31
2009 2008 2009 2008
Return on average
assets n/m n/m 0.26% 0.22%
Return on average
common shareholders'
equity n/m n/m n/m 1.80
(CONTINUA)
