Bank of America
CFO Joe Price said Friday that the company has enough capital to keep it going for more than two years, according to a report.
reported that the CFO told employees on the company's intranet site that BofA's deposit base was a strong source of funds and the company's liquidity was strong.
"We currently have enough cash on hand to fund our parent company operations for more than two years without having to issue additional debt during that time," Price wrote.
Shares of Bank of America are down 60% in 2009 amid industrywide capital concerns. Uncertainty was heightened again this week following Treasury Secretary
Tuesday announcement of a revamped government bailout for the sector. Among the provisions of Geithner's plan is a "stress test," which has raised concerns that the government is now opening the door to additional bank failures.
Fellow large banks
are respectively down 21%, 47% and 45% in 2009.
Bank of America shares were lately losing 4.3% to $5.62 in midday trading.
The government has recently stepped up its efforts to prevent foreclosures as it continues to address the credit crisis.
The Office of Thrift Supervision on Wednesday called on the companies it regulates to suspend foreclosures on owner-occupied homes until the loan modification segment of Geithner's Financial Stability Plan is implemented.