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Bank of America Employee Retirement Plan PR Log

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									PR Log - Global Press Release Distribution




      Bank of America Corporation (NYSE:BAC) Former And Current Employee 401(k) Plan
                                    Participants Lawsuit

       By Shareholders Foundation, Inc.
       Dated: Feb 03, 2009

       Lawsuit on behalf of participants of Bank of America, Merrill Lynch investment plans or profit sharing
       retirement plans , which purchased or held BAC, Merrill Lynch stock in one of those plans during the
       periods September 15, 2008 to present.

       Bank of America (NYSE: BAC) employees earlier this week filed a class-action lawsuit against their
       employer Bank of America (NYSE: BAC) and other 401(k) Plan fiduciaries, claiming the banking giant
       misled them and other shareholders about the impact of its Dec. 5, 2008 acquisition of Merrill Lynch, a
       move that the suit claims caused BAC shares to plunge in value, causing the employees' retirement fund to
       lose hundreds of millions of dollars.

        If you are a former or current employee or are a member of any of Bank of America, Merrill Lynch
       investment plans or profit sharing retirement plans and purchased or held Bank of America, Merrill Lynch
       stock in one of those plans during the periods September 15, 2008 to present, you have certain options and
       you should contact the Shareholders Foundation, Inc. immediately!

        Email: Mail@ShareholdersFoundation.com

        or call us at +1-(858)-779-1554

        The lawsuit, filed in U.S. District Court in New York, claims Bank of America (NYSE: BAC) violated the
       Employee Retirement Income Securities Act (ERISA) by failing to exercise the skill, care, prudence, and
       diligence required in administering employee retirement plans and assets. The suit claims specifically that
       Bank of America (BoA) proxy statements, sent to all BoA shareholders including employees who
       participated in the company's retirement plan, significantly overvalued Merrill Lynch's assets and did not
       disclose many aspects of the teetering investment-bank's financial condition. The employee 401(k) plan
       consists of two components, the employee stock ownership plan (ESOP) and the profit-sharing portion. All
       employees at Bank of America and its subsidiaries are eligible for enrollment and participation. As of
       December 31, 2007, the plan held about 75 million shares of BoA common stock, with a market value of $
       3 billion. According to BoA reports in early 2007, more than 200,000 employees participated in the plan.
        Reports indicate BoA CEO Ken Lewis repeatedly assured employees that all was well with the company --
       even on the eve of the stunning announcements that would send BAC shares tumbling.
        Late last month, Bank of America stock dropped 50 percent from $10.20 a share on Jan. 14, 2009 to $5.10
       a share on Jan. 20, 2009. Since September 2008, company stock has seen a total drop of 80 percent causing
       hundreds of millions of dollars in losses to the company's 401(k) plan. On Jan. 15, 2009, BoA issued a
       memo to employee plan participants claiming, "The core of our company, Bank of America, remains
       strong. We are one of the world's leading financial institutions with broad earnings diversity and a large
       growing deposit base."
        In September 2008, Bank of America began talks with Merrill Lynch regarding an acquisition. Less than
       two days after talks began, BoA announced the acquisition and assured investors, including plan
       participants, that the company conducted due diligence in reviewing risks.
        In November 2008, all shareholders, including employee Plan participants, received a detailed proxy
       statement urging shareholders to vote in favor of the acquisition. According to the lawsuit, the proxy
       contained material misstatements and omissions while significantly overvaluing Merrill Lynch's assets.



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PR Log - Global Press Release Distribution




 Leading up to the stock's collapse in January, stockholders and employees learned the company would
receive a $20 billion investment in preferred stock from the federal government. Unfortunately, that same
day the company announced fourth quarter losses of $1.79 billion and a shocking $15.31 billion fourth
quarter net loss from Merrill Lynch, its recently acquired asset.
 On Friday, January 30, 2009, another investor in Bank of America has filed a proposed securities class
action lawsuit in relation to the recently announced substantial Merrill Lynch losses. The lawsuit was filed
in United States District Court for the Southern District of New York on behalf of purchasers of Bank of
America Corporation (NYSE:BAC) common stock during the period between July 21, 2008 and January
20, 2009.


 Meanwhile Merrill Lynch agreed to settle another class action lawsuit from last May by Ohio’s State
Teachers Retirement System for $475M. The lawsuit alleged securities fraud on the part of the financial
services company after Merrill Lynch’s stock fell when the company wrote down the value of billions of
dollars in assets tied to subprime mortgages. According to this lawsuit Merrill Lynch executives had
artificially boosted the stock price with misleading statements to investors ahead of the devaluation.
Investors who bought common or preferred shares in Merrill Lynch between Oct. 17, 2006 and Dec. 31,
2008 were eligible for this class-action status. The settlement must be approved by a judge in U.S. District
Court in New York. In addition to the $475Million settlement the employee class action brought under the
Employee Retirement Income Security Act settled for $75Million, bringing the total to $550Million. The
ERISA class action on behalf of employees was filed in 2007 by the firm’s employees over losses on its
stock.
 Merrill “vigorously disputed” the claims, said firm spokesman Mark Herr in a statement, but “we are
pleased to have these lawsuits behind us.”

 The FinancialWeek reported that Merrill said to have paid $4b in bonuses before U.S.-backed rescue by B
of A. Merrill Lynch paid billions of dollars of bonuses to its employees, three days before completing its
life-saving sale to Bank of America, the Financial Times reported on its website on Wednesday. Then on
Friday John Thain was just three weeks after the Merrill acquisition, according to Wall Street Journal,
asked by Bank of America Chairman and Chief Executive Kenneth Lewis to resign during a meeting at the
former Merrill chief's office in lower Manhattan. The same day Bloomberg reported that Merrill’s Thain
said to pay $1.2 Million to a decorator.

 If you are a former or current employee or are a member of any of Bank of America, Merrill Lynch
investment plans or profit sharing retirement plans and purchased or held Bank of America, Merrill Lynch
stock in one of those plans during the periods September 15, 2008 to present, you have certain options and
you should contact the Shareholders Foundation, Inc. immediately!

Email: Mail@ShareholdersFoundation.com

or call us at +1-(858)-779-1554


Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North - Suite 423 -
92108 San Diego
Tel:+1-(858)-779-1554
Fax:+1-(858)-605-5739
Mail@ShareholdersFoundation.com


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www.ShareholdersFoundation.com

______________________________________________________________________________________
_____________

###

Advertising. The Shareholders Foundation, Inc. is an investor advocacy group. We do research related to
shareholder issues and inform investors of securities class actions, settlements, judgments, and other legal
related news to the stock market. At Shareholders Foundation, Inc. we are in contact with a large number of
shareholders. We believe that together we can combine the interests of many investors, and use the size of
our interest as leverage against the giant corporations. We offer help, support, and assistance for every
shareholder. The Shareholders Foundation, Inc. is not a law firm. Any statements made in press releases,
emails or over the phone by any member or personnel employed by Shareholders Foundation, Inc. or by
third parties related to the Shareholders Foundation, Inc. is provided for research and guidance purposes
only and are not legal advice. The information is provided as a public service. It is not intended as legal
advice and should not be relied upon.

Category           Banking, Business, Legal
Tags               bank of america, boa, bofa, bac, nyse, erisa
Email              Click to email author
Phone              +1-(858)-779-1554
Fax                +1-(858)-605-5739
Address            3111 Camino Del Rio North - Suite 423 -
City/Town          San Diego
State/Province     California
Zip                92108
Country            United States




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