CHARLOTTE, N.C., July 31 /PRNewswire/ -- Bank of America Chief Executive Officer Kenneth D. Lewis has initiated a 10b5-1 plan calling for the exercise of 4,080,000 options to buy Bank of America shares over five months.
After paying taxes and acquisition costs out of the exercise proceeds, he will retain all of the resulting shares and receive no additional cash. As listed in the company's proxy for the 2006 annual meeting, Lewis beneficially owned approximately 6.6 million shares as of December 31, 2005.
The option exercises are scheduled to begin in late August and occur monthly through December. Bank of America will make the required disclosure filings following each transaction.
A 10b5-1 plan calls for pre-planned sales of stock. It is widely used by senior executives at public companies who are regularly in possession of insider information. Lewis signed the plan after Bank of America reported second quarter earnings on July 19 and after the Board of Directors declared the third quarter dividend on July 26.
About Bank of America
Bank of America is one of the world's largest financial institutions, serving individual consumers, small and middle market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk-management products and services. The company provides unmatched convenience in the United States, serving more than 54 million consumer and small business relationships with more than 5,700 retail banking offices, nearly 17,000 ATMs and award-winning online banking with more than 19.8 million active users. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. The company serves clients in 175 countries and has relationships with 98 percent of the U.S. Fortune 500 companies and 79 percent of the Global Fortune 500. Bank of America Corporation stock (NYSE:BAC) is listed on the New York Stock Exchange.
Source: Bank of America