#United States #Senior Notes #Financial Services #Bank of America #Charlotte, NC

Bank of America Moves Forward with Senior Notes Redemption

In a significant financial maneuver, Bank of America Corporation has announced its intention to redeem the total outstanding principal of $3 billion of its 1.319% Fixed/Floating Rate Senior Notes that are set to mature in June 2026. The redemption is scheduled for June 19, 2025. This decision, aimed at optimizing the bank's capital structure, underscores Bank of America's proactive approach to managing its debt obligations and financial strategies.

The senior notes, which are identified by the CUSIP number 06051GJD2, will be redeemed at a price equal to 100% of their principal amount. Additionally, investors will receive payment for any accrued and unpaid interest that has not yet been settled as of the redemption date. It is important to note that since June 19, 2025, falls on a non-business day, the actual payment of the redemption amount will occur on the next business day, June 20, 2025. Consequently, interest on the notes will cease to accrue as of the designated redemption date.

The redemption process, as detailed by the bank, will be facilitated through the systems of The Depository Trust Company, ensuring a smooth transaction process for investors. Bank of New York Mellon Trust Company, N.A. has been appointed as the trustee and paying agent for this transaction. This strategic move highlights the bank's commitment to financial efficiency and maintaining a robust balance sheet.

Bank of America's Financial Landscape

Bank of America stands as a key player in the global financial arena, catering to a diverse clientele that includes individual consumers, small to medium-sized businesses, and large corporations. Offering a wide spectrum of services such as banking, investing, asset management, and risk management, the organization prides itself on its comprehensive service portfolio. With over 69 million clients in the United States, the bank operates approximately 3,700 retail financial centers and around 15,000 ATMs, complemented by advanced digital banking services accessed by nearly 59 million users.

Furthermore, Bank of America is recognized as a leader in various segments, including wealth management, corporate and investment banking, and trading across multiple asset classes. With operations not only across the U.S. but extending to over 35 countries, the firm aims to deliver unparalleled service and convenience to its clients around the globe.

The decision to redeem these senior notes aligns with the organization’s long-term financial strategy. By reducing its overall debt, Bank of America can also manage its interest expense effectively, thereby ensuring it remains well-capitalized for future investments and opportunities in the financial markets.

Forward-Looking Statements

The press release from Bank of America included certain forward-looking statements as defined under the Private Securities Litigation Reform Act. These statements may involve future results that carry inherent risks and uncertainties, which are not guaranteed. Investors are advised to approach such statements with caution and to consider the associated risk factors detailed in the bank’s Annual Report and subsequent SEC filings.

For shareholders or interested parties, Bank of America has provided contact details for further inquiries. Lee McEntire and Jonathan G. Blum from Bank of America can be contacted for investment-related questions, while reporters can reach out to Jocelyn Seidenfeld for media inquiries.

This proactive step by Bank of America reiterates its core philosophy of being a responsible financial steward. By planning ahead for debt redemption, the bank not only strengthens its position in the market but also gives confidence to its investors regarding its robust management practices and strategic direction.