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Bank of America's offer will provide liquidity to individual investors andcertain businesses and charitable organizations that have been affected byunprecedented conditions in the global credit markets.

The terms of the agreement in principle with the SEC, NYAG and NASAAinclude the following:

-- The offer to purchase applies to individual investors and trusts forthe benefit of individuals which purchased auction rate securities beforeFebruary 13, 2008. It also applies to businesses with account values up to $15million and charities with account values up to $25 million. It does not applyto auction rate securities where auctions are clearing.

-- Bank of America will compensate eligible customers who purchased ARSthrough the company prior to February 11, 2008, and sold such securities at aloss between that date and October 8, 2008.

-- To the extent that eligible customers believe they have a claim forconsequential damages beyond the loss of liquidity in the individualcustomer's holdings of ARS, Bank of America will participate in a specialarbitration process. The special arbitration process is available at thecustomer's election and will be overseen by FINRA with Bank of America payingFINRA's forum and filing fees.

-- Bank of America's repurchase program will remain open until December 1,2009.

-- The company will operate telephone assistance lines to answer questionsand to assist eligible customers who wish to accept the offer. Customers cancall (866) 638-4183 or visit www.bankofamerica.com and select "investmentservices" for information.

-- Bank of America will work with issuers and other interested parties,including regulatory authorities and industry participants, to provideliquidity solutions for institutional customers.

-- Bank of America will pay a $50 million penalty. The company neitheradmits nor denies allegations of wrongdoing.

Bank of America is one of the world's largest financial institutions,serving individual consumers, small and middle market businesses and largecorporations with a full range of banking, investing, asset management andother financial and risk-management products and services. The companyprovides unmatched convenience in the United States, serving more than 59million consumer and small business relationships with more than 6,100 retailbanking offices, more than 18,500 ATMs and award-winning online banking withmore than 25 million active users. Bank of America offers industry leadingsupport to more than 4 million small business owners through a suite ofinnovative, easy-to-use online products and services. The company servesclients in more than 150 countries and has relationships with 99 percent ofthe U.S. Fortune 500 companies and 83 percent of the Fortune Global 500. Bankof America Corporation stock (NYSE: BAC) is a component of the Dow JonesIndustrial Average and is listed on the New York Stock Exchange.www.bankofamerica.com

SOURCE Bank of America