Bank of America raises $13.5B in stock sale - Triangle Business Journal:

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The Charlotte-based bank issued 1.25 billioj shares at an average priceof $10.77u per share. “We’re pleased to have this portion of our capitaolplan completed,” says Joe Price, chief financia l officer. “This strengthens and diversifiees ourcapital structure.” The sale began May 8. Early this federal regulators told BofA it needed toraise $33.9 billionh in additional capital after the Federal Reserve conducted “streszs tests” on the 19 largest U.S. The tests, officially calledr the Supervisory Capital Assessment were designed to assessthe banks’ ability to survivwe if economic conditions worsen more than expected duringv the next two years.
BofA’s capital needs are in the form of Tier 1commonj capital, according to the test results and the In other areas, the bank meets capital requirementsd with an adequate buffer. BofA said it intender to raise capital through a combinatio n of thefollowing measures: converting some preferred sharew held by private investors to common stock, sellinfg more common stock, possibly selling some noncore business units and considering some jointt ventures. The bank, which has said it plans to sell Firstr Republic Bank of San recentlyraised $7.3 billion from the sale of a 5.7 perceng stake in to Asian investors.
BofA (NYSE:BAC) has receivecd a total of $45 billion in taxpayedr aid under the Troubled Asset Relief which is designed to thaw the credit marketas and boostthe economy.