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Bank of America Announces Redemption of $3,000,000,000 5.080% Fixed/Floating Rate Senior Notes, Due January 2027

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CHARLOTTE, N.C., Jan. 9, 2026 /PRNewswire/ -- Bank of America Corporation announced today that it wi...

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AI Summary

BAC will redeem $3 billion of senior notes on January 20, 2026. The redemption will stop interest accrual for these notes. The company continues to serve nearly 70 million clients across the U.S. Bank of America is a global leader in banking and investments. Forward-looking statements caution about uncertainties and risks impacting performance.

Sentiment Rationale

The redemption of notes is part of standard financial management, likely to have minimal immediate impact. Similar past actions have often resulted in neutral market reactions.

Trading Thesis

The impact is limited to the immediate financial maneuver without long-term strategic implications. Historical trends show little long-term effect from such redemptions.

Market-Moving

  • BAC will redeem $3 billion of senior notes on January 20, 2026.
  • The redemption will stop interest accrual for these notes.
  • The company continues to serve nearly 70 million clients across the U.S.

Key Facts

  • BAC will redeem $3 billion of senior notes on January 20, 2026.
  • The redemption will stop interest accrual for these notes.
  • The company continues to serve nearly 70 million clients across the U.S.
  • Bank of America is a global leader in banking and investments.
  • Forward-looking statements caution about uncertainties and risks impacting performance.

Companies Mentioned

  • JPM (JPM)
  • C (C)
  • WFC (WFC)

Corporate Developments

The planned redemption reflects strong financial health but does not signal growth or expansion.

Bank of America to Redeem $3 Billion in Senior Notes by January 2026

Bank of America Corporation (NYSE: BAC) has announced a significant financial move, revealing plans to redeem all outstanding principal of its $3,000,000,000 5.080% Fixed/Floating Rate Senior Notes, set to mature in January 2027. The redemption is scheduled for January 20, 2026, representing a strategic financial decision aimed at improving liquidity and managing debt obligations.

Redemption Details and Financial Implications

The senior notes, identified under CUSIP No. 06051GLE7, will be redeemed at a price equal to 100% of the principal amount, in addition to any accrued and unpaid interest up to the redemption date. Notably, interest on the notes will cease to accrue once the redemption date is reached. This action reflects Bank of America's proactive approach to managing its debt portfolio effectively.

Payment of the redemption price will be facilitated through The Depository Trust Company, with The Bank of New York Mellon Trust Company, N.A. acting as the trustee and paying agent for these notes.

About Bank of America

Bank of America (NYSE: BAC) stands as one of the leading financial institutions globally, catering to a diverse clientele that includes individual consumers, small and middle-market businesses, and large corporations. The company offers an extensive range of banking, investment, asset management, and financial risk management services. With a network of approximately 3,600 retail financial centers and 15,000 ATMs across the United States, Bank of America provides unparalleled convenience to nearly 70 million consumers and small business clients.

  • Approximately 59 million verified digital banking users.
  • Support for around 4 million small business households with innovative online products.
  • Operations span across the U.S., its territories, and over 35 countries.

Forward-Looking Statements

The announcement may include forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that may affect future financial performance. Interested parties are encouraged to consult the "Risk Factors" section in Bank of America's annual report for the year ended December 31, 2024, as well as further disclosures in subsequent SEC filings.

Contact Information

For more details regarding this announcement, investors can reach:

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