BofA will not need more government money: CEO

[tosh]

BofA will not need more government money: CEO

http://www.reuters.com/article/ousiv/idUSTRE5155LL20090206?rpc=77

Fri Feb 6, 2009 3:05pm EST
NEW YORK (Reuters) - Bank of America Corp (BAC.N: Quote, Profile, Research, Stock Buzz), which this week saw its share price fall to a 25-year-low, does not need more money from the U.S. government and does not expect to be nationalized, Chief Executive Kenneth Lewis told CNBC on Friday.

The largest U.S. bank needed government help to complete its acquisition of Merrill Lynch & Co on Jan 1, following rising mortgage and loan losses at Merrill, but Lewis said he is "as convinced as ever" that the acquisition makes sense.

Bank of America's shares, which hit a low of $3.77 on Thursday on mounting concern the bank may need more government support, surged on the comments and were up 25 percent at $6.10 in early afternoon trading

<snip>

Lewis, 61, also told CNBC that Bank of America hopes to repay the U.S. government within three years and that the bank is focused on repaying these funds "as soon as humanly possible".

Bank of America has had a good January, helped by a boom in refinancing mortgages, Lewis said.

The bank posted its first quarterly lost in 17 years in January and it has also been struggling to retain staff following the acquisition of Merrill Lynch.

<snip>

[PM Martin]

1. kick

[LeftHandPath]

2. How will they repay the $45 billion in tax payer money?

Who are they going to loan to?

Where are their profits going to come from?

Does Ken Lewis think all the garbage assets from CountryWide, Merril, and BofA are suddenly going to gain value again?

There is NO hope for BofA. They are toast.

As soon as any bank CEO says they dont need anymore capital, they need more capital.

[bunny planet]

3. Probably just doesn't want his executive pay limited by being part of the new

less CEO friendly bailout restructuring.

[girl gone mad]

4. um, yeah...

he's lying.