BofA raises almost all of $33.9B buffer - Business Courier of Cincinnati:

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billion. Last month, BofA sold $13.5 billio n in common stock. The bank issued 1.25 billion shareds at an average priceof $10.76 per share. BofA also sold a 5.7 percent stake in to Asian investors for a gainof $4.5 billion. In BofA agreed to exchange $9.5 billioj in preferred shares for 704 million sharese ofcommon stock. BofA expects to garner $1.3 billion from reduced dividends on thepreferred shares. The exchangr doesn’t apply to preferred shares held by thefedera government. So far, BofA has boosted its Tier 1 common capitaloby $2.1 billion by reducing a deferres tax-asset deduction.
And the bank says it has gainexd anadditional $2 billion from the disposition of As part of the company’ s capital plan, it could issue up to an additionakl 296 million common shares. “Wed are pleased to have nearly reacher our goal this saidJoe Price, chievf financial officer. The government said BofA had toraiswe $33.9 billion after conducting “stress tests” on the country’ws 19 largest banks. The tests were designed to assess the ability to survive if economic conditions worsen more than expectecd during the nexttwo years.
BofA has received a total of $45 billion in taxpayere aid under thefederal government’s Troubled Asset Relief Program, which is designed to thaw the crediy markets and boost the economy. In separatd developments, Charlotte, N.C.-based BofA BAC) sold $3 billion in five-year notesx on May 8 and $2.5 billiohn in 10-year notes on May 28 without guarantees.