BofA Deal Draws Mixed Reviews in Charlotte

CHARLOTTE, N.C. -- Near the headquarters of Bank of America(BAC Quote), the firm's move to acquire Merrill Lynch (MER Quote) was generally viewed favorably Monday, but many in this city's sophisticated work force expressed skepticism about whether the financial-sector slump is near an end.

"You see Bank of America pick up Merrill Lynch, you like to think there is a rainbow after the storm," said Bob Gates, a quality assurance consultant at Wachovia (WB Quote), which is also based in Charlotte. "I don't think the world financial crisis is bottoming yet. There's a tremendous amount of bad debt out there, nobody's lending, and some people can't buy cars. But sometimes, before you see the light, you have to see the complete darkness."

Charlotte is a banking center, a gleaming New South city where Bank of America and Wachovia each occupy several downtown office buildings, employing thousands of workers. At the intersection of Trade and Tryon streets, every corner houses a tall office building, including the 60-story Bank of America Corporate Center, the state's tallest.

The deal to buy Merrill Lynch "is a little scary," said Micah Sulewski, who works for a company that provides IT services to Bank of America. "You don't know what kind of rocks will be uncovered in terms of the risk. But the bank must have seen more value than risk."

Ultimately, the transaction should mean more jobs for Charlotte, Sulewski surmised. "We'll see a lot of growth within consulting, [and] some full-time people might come back."

Javier Castelan, employed by a systems-engineering consulting firm, said the bank's willingness to invest is a positive sign for the economy, although he does not expect a recovery before early next year. "It's a very attractive investment, and they can afford it," he said.