Bank of America said its unresolved mortgage putback claims totaled $16.648 billion as of June 30, down from $17.135 billion the previous quarter, mainly reflecting the MBIA settlement. But the company estimates the actual losses on mortgage repurchase claims "could be up to $4 billion over accruals at June 30, 2013," according to its second-quarter 10-Q filing.
Brokerage and Asset Management
Lewis also was eager to acquire Merrill Lynch in September 2008, with Bank of America agreeing to acquire the nation's largest retail brokerage firm for $50 billion in stock, the same weekend that Lehman failed in September 2008. The deal was completed in January 2009, in exchange for $29.1 billion in common and preferred stock.
Bank of America issued 1.4 billion common shares for about $20.5 billion, to complete the Merrill Lynch acquisition.
Bank of America was among the group of nine large banks in October 2008 that were pretty much forced by former Treasury Secretary Henry Paulson to accept government bailout funds through the Troubled Assets Relief Program, or TARP. Bank of America initially received $15 billion in TARP money, followed by another $35 billion in January 2009, after the Merrill Lynch acquisition was completed.Bank of America raised an additional $25 billion in common equity before completing its full repayment of TARP in March 2010.