Bank of America Announces Full Redemption of Depositary Shares Representing Interests in Its 6.200% Non-Cumulative Preferred Stock, Series CC

Rhea-AI Summary

Bank of America announced the redemption of all outstanding shares of its 6.200% Non-Cumulative Preferred Stock, Series CC on January 29, 2021. A total of 44,000,000 Series CC Depositary Shares will be redeemed at a price of $25 per share. This redemption includes a declared dividend of $0.3875 for the current quarterly period, payable on the same date. All necessary approvals for the redemption have been secured, and the process will follow the established procedures through The Depository Trust Company.

Positive

• Redeeming 44 million Series CC Depositary Shares enhances capital structure.
• Payment of declared dividend of $0.3875 per depositary share indicates financial stability.

Negative

• None.

Bank of America Corporation announced today that it will redeem all outstanding shares of its 6.200% Non-Cumulative Preferred Stock, Series CC (the “Series CC Preferred Stock”), and the corresponding depositary shares representing fractional interests in the Series CC Preferred Stock (the “Series CC Depositary Shares”), on January 29, 2021.

All 44,000,000 Series CC Depositary Shares (NYSE: BAC PrC) (CUSIP No. 060505286), each representing a 1/1,000^th interest in one share of the Series CC Preferred Stock, will be redeemed on the dividend payment date on January 29, 2021, simultaneously with the redemption of the Series CC Preferred Stock, at a redemption price of $25 per depositary share. Declared dividends of $0.3875 per depositary share on the outstanding Series CC Depositary Shares for the full current quarterly dividend period will be paid separately on January 29, 2021 to holders of record on January 1, 2021, in the customary manner. Accordingly, the redemption price of $25 per depositary share does not include any accrued and unpaid dividends, and dividends on the redeemed depositary shares will cease to accrue on the redemption date.

The Series CC Depositary Shares are held through The Depository Trust Company (DTC) and will be redeemed in accordance with the procedures of DTC. Payment to DTC for the Series CC Depositary Shares will be made by Computershare Inc. and Computershare Trust Company, N.A., collectively, as redemption agent, in accordance with the Deposit Agreement governing the Series CC Depositary Shares. The address for the redemption agent is as follows:

Computershare Trust Company, N.A.
Attn: Corporate Actions
150 Royall St.
Canton, MA 02021

Bank of America has received all necessary approvals for this redemption.

Bank of America
Bank of America is one of the world’s leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 66 million consumer and small business clients with approximately 4,300 retail financial centers, including approximately 2,900 lending centers, 2,500 financial centers with a Consumer Investment Financial Solutions Advisor and 2,300 business centers; approximately 17,000 ATMs; and award-winning digital banking with approximately 39 million active users, including approximately 31 million mobile users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and approximately 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

Forward-looking statements
Certain information contained in this news release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future results or performance and involve certain risks, uncertainties and assumptions difficult to predict or beyond our control. You should not place undue reliance on any forward-looking statement and should consider the uncertainties and risks discussed in our 2019 Annual Report on Form 10-K, our quarterly reports on Form 10-Q for the periods ended March 31, 2020, June 30, 2020 and September 30, 2020 and subsequent Securities and Exchange Commission filings. Forward-looking statements speak only as of the date they are made, and we undertake 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.

For more Bank of America news, including dividend announcements and other important information, visit the Bank of America newsroom and register for news email alerts.

www.bankofamerica.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20201217005988/en/

FAQ

What is the redemption date for Bank of America's Series CC Preferred Stock?

The redemption date is January 29, 2021.

What is the redemption price for the Series CC Depositary Shares?

The redemption price is $25 per depositary share.

How many Series CC Depositary Shares are being redeemed by Bank of America?

A total of 44,000,000 Series CC Depositary Shares will be redeemed.

What dividend will be paid to holders of the Series CC Depositary Shares?

A declared dividend of $0.3875 per depositary share will be paid.

What company is handling the redemption process for Bank of America?

The redemption process will be handled by Computershare Inc. and Computershare Trust Company, N.A.