Bank of America Corp. is on track to be this year’s worst performer in the Dow Jones Industrial Average as concern about mounting mortgage losses and a global economic slowdown weighed on the second-biggest U.S. lender, Bloomberg writes.
The 59 percent decline through yesterday erased almost $80 billion of shareholder value at Charlotte, North Carolina- based Bank of America. It’s the firm’s largest drop since a 66 percent plunge in 2008, when a U.S. bailout staved off a collapse. The bank probably will also end 2011 last in the Standard & Poor’s 500 Financials Index and the KBW Bank Index.
Big swinging d*ck and CEO Brian T. Moynihan, 52, told his staff in a year-end progress report last week that his effort to boost the company’s value “is not yet translating into returns for our shareholders.” Moynihan said he has prepared for turmoil ahead by selling assets, reducing mortgage and credit- card loans and pledging to lower annual costs by $5 billion, including about 30,000 job cuts...
Read more at http://www.bloomberg.com/news/2011-12-30/bank-of-america-s-three-ring-circus-tops-dow-jones-list-of-2011-laggards.html
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