stephen martin siddharth rangan sean tobin

Stephen MartinStephen Martin

Siddharth RanganSiddharth Rangan

Sean TobinSean Tobin

COMPANY OVERVIEW – November 7, 2006

Bank of America Formed by a series of mergers

Founded in San Francisco in 1904Merged with Nations Bank in 1998Merged with Fleet Boston Financial in 2004Acquired MBNA in 2006 to become the

largest U.S. credit card issuer as measured by balances

Ken Lewis – Chairman and CEO 177,000 Employees

Bank of America Overview Departments: Consumer and Small

Business Banking, Commercial Banking, Wealth and Investment Management, Global Capital Markets and Investment Banking

Headquartered in Charlotte, North Carolina

International presence in 175 countries with Investment Banking offices in 20 countries

Investment Banking Overview Eleven “Focus Industries” including:

Consumer and Retail, Financial Institutions, Financial Sponsors, Gaming, Global Industries, Healthcare, Natural Resources, Real Estate, Sports Finance and Advisory, Technology, Media and Telecommunications, Transportation

Expected associate placement locations: New York, Charlotte, Chicago, and San Francisco All offers are made for a specific location and

product group

BAC Financial Snapshot

BAC Revenue and Net Income by Division

BAC Global Capital Markets and Investment Banking

BAC Global Capital Markets and Investment Banking Within the Global Capital Markets and

Investment Banking sector:Net income declined 10% to $1.7 billion in

2005 mostly due to a decline in the provision benefit as a result of slowing improvement in credit quality

Revenue was unchanged at $9.0 billion in 2005 and 2004

Non-interest income increased 14% Investment banking revenue was down

slightly, as were service charges

Relationships Client roster includes 98% of the U.S.

2005 Fortune 500 and 82% of the Global 2005 Fortune 500

3,000 institutional investors 230,000 commercial banking relationships

Investment Banking Market Share

Improved market share to 6.5% for 1H06 from 6.3% for full year 2005

BAS Market Share and Industry Ranking

Changing Financial Services Industry Since 1999, universal banks, like Bank of

America, have increased their investment banking market fees by 6% while traditional investment banks have seen a 5% decrease

In the first half of 2006 universal banks’ market share increased to 41%, a 7% increase since 1999

Leadership Rankings – EquitiesFirst 3 quarters of 2006

No. 10 in US Common Stock issuance – Value of US$ 3.678B (2005- No. 10)

No. 10 in US IPOs – Value US$ 893.8M (2005 – No. 9)

No. 5 in US Convertibles – Value US$ 4.107B (2005 – No. 7)

Overall Ranking for Equity and Equity Linked Issuance – No. 8. Value US$ 7.785B (2005 – No. 9)

Leadership Rankings - Fixed IncomeFirst Three Quarters - 2006

No. 10 in Global Mortgage Backed Securities – US$ 49.902B.

No. 9 in Global Asset Backed Securities – US$ 53.079B.

No. 4 in US$ denominated Global High Yield Debt – US$ 7.975B (2005 – No. 1)

Not much presence in emerging market bonds.

Leadership Rankings – M&AFirst Three Quarters – 2006 – Financial Advisory

No. 17 in Worldwide announced deals. Value – US$ 117.236B (2005 – No. 12). 6% growth Vs. 45% Goldman

No. 11 in US Target announced deals. Value – US$ 100.719B (2005 – No. 9)

Not a leading presence in European or Asia-Pacific M&A markets

BAS Recent News and Deals Book ran several marquee deals including a $2.1billion

Mandatory Convertible for MetLife and an $800 million IPO for Celanese (a Blackstone Company).

“U.S. Dollar Bond of the Year” and “U.S. Dollar Investment Grade Deal of the Year” for Residential Capital’s inaugural bond offering. (IFR and Credit, December 2005)

“Retail Deal of the Year” for KKR, Bain Capital and Vornado Realty Trust acquisition of Toys ‘R’ Us. Banc of America Securities acted as M&A advisor to the acquirers and provided bridge, bank, CMBS and ABL Financing.(Investment Dealers Digest, 2005)

“2005 High Yield Bond of the Year” for Rémy Cointreau. (The Treasurer, Jan/Feb 2006)

In 2005, BAS advised on $134 billion of announced M&A transactions (97 deals).