Bofa Irfactbookmidyear 2009 Final

Investor Fact Book Mid Year 2009

Equity Investor Relations:

Fixed Income Investor Relations:

Kevin Stitt

704.386.5667

Patricia Noneman

980.388.3591

Lee McEntire

704.388.6780

Jonathan Blum

212.449.3112

Julie Park

704.386.4472

Grace Yoon

212.449.7323

Internet address: http://investor.bankofamerica.com

Table of Contents I Th I. The Company C

III Business III. B i S Segments t

Our Company Today Leadership Team Board of Directors Industry Rankings Bank of America Today U.S. Deposit Market Share Banking Center Network ATM Network

2 3 4 5 6 7 8 9

Current Environment

IV. Deposits Overview Financials

43-45 46-47

V. Global Card Services Overview Financials

II. Financial Overview Financial Highlights Supplemental Financial Data Income Statement Balance Sheet Composition Balance Sheet Earnings Per Share Dividends Per Share and Payout Ratio Return on Equity Return on Assets Noninterest Income – Annual Noninterest Income – Quarterly Noninterest Expense – Annual Noninterest Expense – Quarterly Rate Environment Net Interest Income and Yields – Annual Net Interest Income and Yields – Quarterly Quarterly Average Balance Sheet and Yields Table Loan Portfolio Nonperforming Assets Net Charge-Offs and Provision Expense Pre-Provision, Pre-Tax Income vs. Provision Expense Allowance Allocation Performance by Geographic Area Capital Levels Efficiency Ratio Debt Ratings Preferred Stock Information Trust Preferred and Hybrid Securities Information

42

11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29-30 31-32 33 34 35 36 37 38 39 40

48-49 50-51

VI. Home Loans & Insurance Overview Financials

52-55 56-57

VII. Global Banking Overview Financials

58-62 63-64

VIII Global Markets VIII. Overview Financials

65-66 67

IX. Global Wealth & Investment Management Overview Financials

68-69 70-72

X. All Other Financials Global Principal Investments

All information is as of June 30, 2009, unless stated otherwise.

1

73 74

Our Company Today Bank of America is one of the world's world s largest financial institutions, serving individual consumers, small small- and middle middle-market 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 approximately 53 million consumer and small business relationships with more than 6,100 retail banking offices, nearly 18,500 ATMs and award-winning online banking with 29 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to more than 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients in more than 150 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial A Average g and d is i listed li t d on the th New N York Y k Stock St k Exchange. E h g

Strengths

Opportunities

Ability to Leverage Size and Scale – Our size, scale and global presence enable us to provide our customers and clients with a full range of world-class world class products and services, delivered with convenience and efficiency.

Customer/Client Satisfaction – We are working to improve satisfaction, reduce problems and create solutions. TTalent l and d Leadership L d hi – We W are attracting i and d retaining i i associates who can lead in a global organization, and we are building on our leading staffing, training and leadership development programs.

Diverse, Market-leading Businesses – Our businesses have leading market shares in every major sector of the industry, creating the opportunity to build broad, deep relationships and to generate strong, balanced earnings.

Executing Transition – As we integrate our businesses, we are bringing together a wide spectrum of products and services for customers and clients while improving quality, accuracy and efficiency and lowering costs.

Integrated Delivery – We provide comprehensive financial solutions that fit customers’/clients’ specific needs. Service Quality – We have a culture of service excellence and the skills, technology and infrastructure to back it up.

Community Support – We’re working to strengthen the many communities we serve through community development banking ($1.5 trillion over ten years), philanthropy ($2 billion over ten years), volunteerism (900,000 hours in 2008) and environmental lending and investments ($20 billion over ten years).

Capital Strength – Our balance sheet strength and ample liquidity give us the financial flexibility to support our customers and clients even during challenging economic times.

Investing for Growth – We are investing in technology and innovation to improve productivity and better meet associate, customer, client and shareholder needs.

Our Goals For Customers and Clients: To increase satisfaction and loyalty by providing the best value and service. •Deliver high-quality financial products and services. •Be a trusted adviser for financial solutions. •Deepen relationships and earn loyalty. For Associates: To create a workplace in which all associates can excel and rewards are based on results. • Attract and retain a world-class work force. • Foster an inclusive and diverse workplace. •Enable associates to grow and succeed while balancing work, family and health. For Shareholders: To produce strong and consistent financial returns by attracting and retaining customers and clients, and by deepening relationships in all our businesses. For Communities : To strengthen the communities we serve through community development banking, philanthropy, volunteerism and environmental initiatives.

2

Bank of America Leadership K Kenneth th D D. LLewis i Chief Executive Officer and President, Bank of America Corporation J. Steele Alphin Chief Administrative Officer, Bank of America Corporation Gregory L. Curl Chief Risk Officer, Bank of America Corporation David C. Darnell President, Global Commercial Banking, Bank of America Corporation Barbara J. Desoer President, Home Loans & Insurance, Bank of America Corporation Anne M. Finucane gy and Marketingg Officer,, Bank of America Corporation p Global Chief Strategy Sallie L. Krawcheck President, Global Wealth & Investment Management, Bank of America Corporation Thomas K. Montag President, Global Banking and Markets, Bank of America Corporation Brian T. Moynihan President, Consumer & Small Business Banking, Bank of America Corporation Joe L. Price Chief Financial Officer, Bank of America Corporation Richard K. Struthers President, Global Card Services, Bank of America Corporation

3

Bank of America Board of Directors Directors Walter E. Massey, (70) Chairman of the Board, Bank of America Corporation Susan S. Bies, (62) Former Member, Board of Governors of the Federal Reserve System William P. Boardman, (67) Retired Vice Chairman, Banc One Corporation and Retired Chairman of the Board, Visa International Frank P. Bramble, Sr., (60) Former Executive Officer, MBNA Corporation Virgis W. Colbert, (69) Senior Advisor, MillerCoors Company Charles K. Gifford, (66) Former Chairman, Bank of America Corporation D. Paul Jones, (66) Former Chairman, Chief Executive Officer and President, Compass Bancshares, Inc. Kenneth D. Lewis, (61) Chief Executive Officer and President, Bank of America Corporation Monica C. Lozano, (52) Publisher and Chief Executive Officer, La Opinion Thomas J. May, (61) Chairman, President and Chief Executive Officer, NSTAR Donald E. Powell, (67) Former Chairman, Federal Deposit Insurance Corporation Charles O. Rossotti, (68) ( ) Senior Advisor, The Carlyle Group Thomas M. Ryan, (56) Chairman, President and Chief Executive Officer, CVS/Caremark Corporation Robert W. Scully, (59) Former Member, Office of the Chairman of Morgan Stanley

Bank of America Board of Directors as of August 21, 2009

4

Industry Rankings TOP 10 U.S. BANKING COs. (1H09 EARNINGS*) $ in Millions

TOP 10 U.S. BANKING COs. (IN EQUITY @ 6/30/09) $ in Millions

1. Bank of America ($5,233) g (($4,959)) 2. Wells Fargo 3. Goldman Sachs ($4,377) 4. JPMorgan Chase ($2,591) 5. Citigroup ($2,034) 6. U.S. Bancorp ($640) 7. PNC ($525) 8. Bank of NY Mellon ($498) 9. BB&T ($392) 10. M&T Bank ($95)

1. Bank of America ($255,152) 2. JPMorgan Chase ($154,766) 3. Citigroup ($154,168) 4. Wells Fargo ($121,382) 5. Goldman Sachs ($62,813) 6. Morgan Stanley ($46,586) 7. PNC ($29,467) 8 Bank of NY Mellon ($27 304) 8. ($27,304) 9. Capital One ($25,326) 10. U.S. Bancorp ($24,886)

* Net income available to common shareholders

TOP 10 U.S. BANKING COs. (IN MARKET CAP @ 6/30/09) $ in Billions

TOP 10 U.S. BANKING COs. (IN ASSETS @ 6/30/09) $ in Billions 1. Bank of America ($2,254) 2 JPMorgan Chase ($2,027) 2. ($2 027) 3. Citigroup ($1,847) 4. Wells Fargo ($1,284) 5. Goldman Sachs ($890) 6. Morgan Stanley ($677) 7. PNC ($280) 8 U 8. U.S. S Bancorp ($266) 9. Bank of NY Mellon ($203) 10. SunTrust ($177)

1. JP Morgan Chase ($134) 2 Bank of America ($114) 2. 3. Wells Fargo ($113) 4. Goldman Sachs ($77) 5. Morgan Stanley ($39) 6. Bank of NY Mellon ($35) 7. U.S. Bancorp ($34) 8. 8 State Street ($23) 9. PNC ($18) 10. Citigroup ($16)

5

Bank of America Today – June 30, 2009 ($ iin millions, illi exceptt EPS and d market k t price) i )

June 30, 2009 Assets

$2,254,394

Loans & leases

942,248

Domestic deposits

899,482

Foreign deposits

71,260

Shareholders' equity

255,152

Market capitalization

114,199

Market price

13.20

Common outstanding shares (in thousands)

8,651,459 Six Months Ended June 30, 2009

Revenue, net of interest expense

$68,532

Net income (loss)

7,471

Net income (loss), applicable to common shareholders

5,233

Diluted EPS

0.75

Employees

282,408

Banking centers (Domestic)

6,109

ATMs (Domestic)

18,426

6

U.S. Deposit Market Share

NH #2 (19%) WA (22%) #1 (23%)

OR #4 (13%) #2 (12%)

ME #3 (9%)

ID #4 (5%) IA #4 (3%)

NV #4 (5%) CA #2 (23%) #1 (21%) AZ #3 (21%)

NM #2 ((17%))

MI #1 (16%)

#4 (6%)

IL #2 (11%)

OK #5 (5%)

AR #3 (6%)

TX #1 (27%)

RI #2 (25%) CT #1 (21%)

PA #7 (3%)

NJ #1 (21%) VA #3 (13%)

MO #2 (10%)

KS #1 (8%)

MA #1 (20%)

NY

TN #4 (6%)

MD #1 (19%)

NC #3 (13%)

DC #2 (15%)

SC #2 (11%)

GA #3 (10%)

FL #2 (19%)

#1 #2 #3 #4+

Source: SNL Branch Data Source. U.S. Deposit Market Share (total domestic deposits) based on June 2008 deposit data, adjusted for completed transactions as of July 28, 2009.

7

Banking Center Network

Total U.S. Banking Centers: 6,109 New Hampshire 36

Washington 237 Oregon 87

Idaho

Michigan

21

New York 385

252

Pennsylvania 118

Iowa 14

Nevada 89

Illinois Indiana 6 211 Kansas 64

California 989 Arizona 174

New Mexico 51

Missouri 133

Oklahoma 43

Arkansas 45

Kentucky 2 Tennessee 86

Virginia 208 North Carolina 200

Maine 41 Massachusetts 302 Rhode Island 48 Connecticut 173 New Jersey Delaware 393 2 Maryland 192 District of Columbia 31

South Carolina 122

Georgia 224 Texas 476

Florida 654

>301 201-300 151-200 76-150 51-75 1-50

8

ATM Network

Total U.S. (Branded Only) ATMs: 18,426 New Hampshire 83

Washington 6 655 Oregon 179

Montana 2 Idaho 34 Wyoming 4

Nevada 301

Colorado 163

California 4,035

Arizona 633

New Mexico 163

Massachusetts 1,328

Minnesota 21 Wisconsin 3

South Dakota 4

Kansas 114

Arkansas 72

Texas 1,900

Louisiana 31

Rhode Island 110 Connecticut 359

New York 1,028

Ohio 13 West Virginia 1 Virginia Kentucky 485 14 North Carolina 502 Tennessee 262 South Carolina 331 Georgia Alabama 672 8

IIndiana di Illinois 46 690

Missouri 301

Oklahoma 72

Michigan 624

Pennsylvania 217

Iowa 14

Nebraska 3 Utah 3

Maine 73

New Jersey Delaware 707 29 Maryland 590 District of Columbia 100

Florida 1,446

>1001 501-1000 301-500 101-300 51-100 1-50

Note that there is one branded ATM in Alaska

9

Financial Overview

Financial Highlights (Dollars in millions, except per share information; shares in thousands) S ix Months E nded J une 30 2009 2008

Income statement Net interest income Noninterest income T otal revenue, net of interest expense P rovision for credit losses Noninterest expense, before merger and restructuring charges Merger and restructuring charges Income tax expense (benefit) Net income (loss) P referred stock dividends Net income (loss) applicable to common shareholders Diluted earnings (loss) per common share A verage diluted common shares issued and outstanding Dividends paid per common share P erformance ratios R eturn on average assets R eturn on average common shareholders' equity R eturn on average tangible common shareholders' equity R eturn on average tangible shareholders' equity (2)

(2)

Second Q uarter 2009

F irst Q uarter 2009

F ourth Q uarter (1) 2008

T hird Q uarter 2008

S econd Q uarter 2008

$24,127 44,405 68,532 26,755

$20,612 16,869 37,481 11,840

$11,630 21,144 32,774 13,375

$12,497 23,261 35,758 13,380

$13,106 2,574 15,680 8,535

$11,642 7,979 19,621 6,450

$10,621 9,789 20,410 5,830

32,428 32 428 1,594 284 7,471 2,238 5,233 0.75

18,540 18 540 382 2,099 4,620 376 4,244 0.95

16,191 16 191 829 (845) 3,224 805 2,419 0.33

16,237 16 237 765 1,129 4,247 1,433 2,814 0.44

10,641 10 641 306 (2,013) (1,789) 603 (2,392) (0.48)

11,413 11 413 247 334 1,177 473 704 0.15

9,447 9 447 212 1,511 3,410 186 3,224 0.72

6,836,972 $0.02

4,445,428 $1.28

7,269,518 $0.01

6,431,027 $0.01

4,957,049 $0.32

4,547,578 $0.64

4,444,098 $0.64

0.61 % 6.31 20.47 10.59

0.53 % 6.06 16.87 12.85

0.53 % 5.59 16.90 8.86

0.68 % 7.10 24.37 12.42

n/m n/m n/m n/m

%

0.25 % 1.97 8.92 6.11

0.78 % 9.25 25.17 18.12

A t period end $22.71 11.66

$31.11 11.87

$22.71 11.66

$25.98 10.88

$27.77 10.11

$30.01 10.50

$31.11 11.87

Market price per share of common stock: C losing price High closing price for the period Low closing price for the period Market capitalization

$13.20 14.33 3.14 114,199

$23.87 45.03 23.87 106,292

$13.20 14.17 7.05 114,199

$6.82 14.33 3.14 43,654

$14.08 38.13 11.25 70,645

$35.00 37.48 18.52 159,672

$23.87 40.86 23.87 106,292

Number of banking centers - domestic Number of branded A T Ms - domestic Full-time equivalent employees

6,109 18,426 282,408

6,131 18,531 206,587

6,109 18,426 282,408

6,145 18,532 286,625

6,139 18,685 240,202

6,139 18,584 247,024

6,131 18,531 206,587

Book value per share of common stock T angible book value per share of common stock (2)

(1) Due to a net loss for the three months ended December 31, 2008, the impact of antidilutive equity instruments were excluded from diluted earnings per share and average diluted common shares. (2) T angible equity ratios and tangible book value per share of common stock are non-G AAP measures. F or corresponding reconciliations of average tangible common shareholders' equity and tangible shareholders' equity to G AAP financial measures, see Supplemental F inancial Data on page 3. W e believe the use of these non-G AAP measures provide additional clarity in assessing the results of the C orporation. n/m = not meaningful C ertain prior period amounts have been reclassified to conform to current period presentation.

11

Supplemental Financial Data (Dollars in millions)

Fully tax able-equiv alent basis data Six Months E nded J une 30 2009 2008 Net interest income T otal revenue, net of interest expense Net interest yield E fficiency ratio

Second Q uarter 2009

F irst Q uarter 2009

F ourth Q uarter 2008

T hird Q uarter 2008

$24,761

$21,228

$11,942

$12,819

$13,406

$11,920

69,166

38,097

33,086

36,080

15,980

19,899

2.67 49.19

%

2.83

2.64

%

%

2.70

51.44

49.67

47.12

%

3.31

%

68.51

2.93

Second Q uarter 2008 $10,937 20,726 %

58.60

2.92 46.60

R econciliation to G A A P financial measures T he C orporation evaluates its business based upon ratios that utilize tangible equity which is a non-G A A P measure. R eturn on average tangible shareholders' equity measures the C orporation's earnings contribution as a percentage of shareholders’ equity reduced by goodwill and intangible assets (excluding mortgage servicing rights), net of related deferred tax liabilities. T he tangible equity ratio and the tangible common equity ratio represent shareholders’ equity, common or total as applicable, less goodwill and intangible assets (excluding mortgage servicing rights), net of related deferred tax liabilities divided by total assets less goodwill and intangible assets (excluding mortgage servicing rights), net of related deferred tax liabilities. T hese measures are used to evaluate the C orporation's use of equity (i.e., capital). In addition, profitability, relationship, and investment models all use return on average tangible shareholders' equity as key measures to support our overall growth goals. p to ggenerate a dollar of revenue. W e believe the use of these non-G A A P measures p provides additional clarityy in assessingg the results of the A lso, the efficiencyy ratio measures the costs expended C orporation. O ther companies may define or calculate supplemental financial data differently. See the tables below for supplemental financial data and corresponding reconciliations to G A A P financial measures for the three months ended J une 30, 2009, March 31, 2009, December 31, 2008, September 30, 2008 and J une 30, 2008, and the six months ended J une 30, 2009 and 2008.

R econciliation of averag e shareholders' equity to averag e tang ible shareholders' equity Shareholders' equity G oodwill Intangible assets (excluding MSR s) R elated deferred tax liabilities T ang ible shareholders' equity

$235,855 (85,956) (11,539) 3,946 $142,306

$242,867 (87,314) (13,595) 3,916 $145,874

$158,078 (77,721) (9,824) 1,766 $72,299

$228,766 (84,584) (9,461) 3,977 $138,698

$176,566 (81,841) (8,818) 1,913 $87,820

$166,454 (81,977) (9,547) 1,683 $76,613

$161,428 (77,815) (9,618) 1,687 $75,682

$142,535 (81,841) (8,818) 1,913 $53,789

$142,303 (81,977) (9,547) 1,683 $52,462

$140,243 (77,815) (9,618) 1,687 $54,497

$177,052 (81,934) (8,535) 1,854 $88,437

$161,039 (81,756) (9,167) 1,914 $72,030

$162,691 (77,760) (9,603) 1,679 $77,007

R econciliation of averag e common shareholders' equity to av erag e tang ible common shareholders' equity C ommon shareholders' equity G oodwill Intangible assets (excluding MSR s) R elated deferred tax liabilities T ang ible common shareholders' equity

$167,153 (85,956) (11,539) 3,946 $73,604

$173,497 (87,314) (13,595) 3,916 $76,504

$140,849 (77,721) (9,824) 1,766 $55,070

$160,739 (84,584) (9,461) 3,977 $70,671

R econciliation of period end shareholders' equity to period end tang ible shareholders' equity Shareholders' equity G oodwill Intangible assets (excluding MSR s) R elated deferred tax liabilities T ang ible shareholders' equity

$255,152 (86,246) (13,245) 3,843 $159,504

$255,152 (86,246) (13,245) 3,843 $159,504

$162,691 (77,760) (9,603) 1,679 $77,007

$239,549 (86,910) (13,703) 3,958 $142,894

R econciliation of period end common shareholders' equity to period end tang ible common shareholders' equity C ommon shareholders' equity G oodwill Intangible assets (excluding MSR s) R elated deferred tax liabilities T ang ible common shareholders' equity

$196,492 (86,246) (13,245) 3,843 $100,844

$138,540 (77,760) (9,603) 1,679 $52,856

$196,492 (86,246) (13,245) 3,843 $100,844

$166,272 (86,910) (13,703) 3,958 $69,617

$139,351 (81,934) (8,535) 1,854 $50,736

$136,888 (81,756) (9,167) 1,914 $47,879

$138,540 (77,760) (9,603) 1,679 $52,856

$2,254,394 (86,246) (13,245) 3,843 $2,158,746

$2,321,963 (86,910) (13,703) 3,958 $2,225,308

$1,817,943 (81,934) (8,535) 1,854 $1,729,328

$1,831,177 (81,756) (9,167) 1,914 $1,742,168

$1,716,875 (77,760) (9,603) 1,679 $1,631,191

R econciliation of period end assets to period end tang ible assets A ssets G oodwill Intangible assets (excluding MSR s) R elated deferred tax liabilities T ang ible assets

$2,254,394 (86,246) (13,245) 3,843 $2,158,746

$1,716,875 (77,760) (9,603) 1,679 $1,631,191

C ertain prior period amounts have been reclassified to conform to current period presentation.

12

%

Income Statement (Dollars in millions, except per share information; shares in thousands) Six Months E nded J une 30

Second Q uarter

F irst Q uarter

F ourth Q uarter (1) 2008

T hird Q uarter

Second Q uarter

2008

2008

2009

2008

2009

2009

$25,678 7,113

$27,536 5,674

$12,329 3,283

$13,349 3,830

$14,220 3,851

$14,261 3,621

$13,121 2,900

1,845 4,380 2,732 , 3 41,748

2,008 4,593 2,075 41,886

690 1,952 1,338 ,338 19,592

1,155 2,428 1,394 22,156

393 2,120 1,018 21,602

912 2,344 1,058 22,196

800 2,229 977 20,027

4,625 3,617 1,029 8,350 17,621 24,127

8,108 7,229 1,589 4,348 21,274 20,612

2,082 1,396 450 4,034 7,962 11,630

2,543 2,221 579 4,316 9,659 12,497

3,296 1,910 524 2,766 8,496 13,106

3,846 3,223 661 2,824 10,554 11,642

3,520 3,087 749 2,050 9,406 10,621

Noninterest income C ard income Service charges Investment and brokerage services Investment banking income E quity investment income (loss) T rading account profits (losses) Mortgage banking income Insurance income G ains on sales of debt securities O ther income (loss) T otal noninterest income T otal revenue, net of interest ex pense

5,014 5,262 5,957 2,701 7,145 7,365 5,841 1,350 2,130 1,640 44,405 68,532

7,090 5,035 2,662 1,171 1,646 (1,426) 890 414 352 (965) 16,869 37,481

2,149 2,729 2,994 1,646 5,943 2,164 2,527 662 632 (302) 21,144 32,774

2,865 2,533 2,963 1,055 1,202 5,201 3,314 688 1,498 1,942 23,261 35,758

3,102 2,559 1,072 618 (791) (4,101) 1,523 741 762 (2,911) 2,574 15,680

3,122 2,722 1,238 474 (316) (384) 1,674 678 10 (1,239) 7,979 19,621

3,451 2,638 1,322 695 592 357 439 217 127 (49) 9,789 20,410

P rovision for credit losses

26,755

11,840

13,375

13,380

8,535

6,450

5,830

Noninterest ex pense P ersonnel O ccupancy E quipment Marketing P rofessional fees A mortization of intangibles Data processing T elecommunications O ther general operating Merger and restructuring charges T otal noninterest expense Income (loss) before income tax es Income tax ex pense (benefit) Net income (loss) P referred stock dividends Net income (loss) applicable to common shareholders

16,558 2,347 1,238 1,020 949 1,036 1,269 672 7 339 7,339 1,594 34,022 7,755 284 $7,471 2,238 $5,233

9,146 1,697 768 1,208 647 893 1,150 526 2 505 2,505 382 18,922 6,719 2,099 $4,620 376 $4,244

7,790 1,219 616 499 544 516 621 345 4 041 4,041 829 17,020 2,379 (845) $3,224 805 $2,419

8,768 1,128 622 521 405 520 648 327 3 298 3,298 765 17,002 5,376 1,129 $4,247 1,433 $2,814

4,027 1,003 447 555 521 477 641 292 2 678 2,678 306 10,947 (3,802) (2,013) $(1,789) 603 $(2,392)

5,198 926 440 605 424 464 755 288 2 313 2,313 247 11,660 1,511 334 $1,177 473 $704

4,420 848 372 571 362 447 587 266 1 574 1,574 212 9,659 4,921 1,511 $3,410 186 $3,224

$0.75 0.75 0 02 0.02 6,808,262 6,836,972

$0.95 0.95 1 28 1.28 4,431,870 4,445,428

$0.33 0.33 0 01 0.01 7,241,515 7,269,518

$0.44 0.44 0 01 0.01 6,370,815 6,431,027

$(0.48) (0.48) 0 32 0.32 4,957,049 4,957,049

$0.15 0.15 0 64 0.64 4,543,963 4,547,578

$0.72 0.72 0 64 0.64 4,435,719 4,444,098

Interest income Interest and fees on loans and leases Interest on debt securities F ederal funds sold and securities borrowed or purchased under agreements to resell T rading account assets O ther interest income T otal interest income Interest ex pense Deposits Short-term borrowings T rading account liabilities Long-term debt T otal interest expense Net interest income

P er common share information E arnings (loss) Diluted earnings (loss) Dividends paid A verag e common shares issued and outstanding A verag e diluted common shares issued and outstanding

(1) Due to a net loss for the three months ended December 31, 2008, the impact of antidilutive equity instruments were excluded from diluted earnings per share and average diluted common shares.

C ertain prior period amounts have been reclassified to conform to current period presentation.

13

Balance Sheet Composition Assets - 6/30/09 $2.254 Trillion Other $293B 13%

Goodwill & Intangibles $99B 4%

Loans $942B 42%

Cash $140B 6%

Market-Based Assets $512B 23%

Debt Securities $267B 12%

Liabilities & Equity - 6/30/09 $2.254 Trillion

Other Liabilities $117B 5%

Equity $255B $ 11%

Domestic Deposits $899B 40% Long-Term Debt $447B 20%

Short-Term Borrowings $465B 21%

Foreign Deposits $71B 3% 14

Balance Sheet (Dollars in millions)

J une 30 2009 A ssets C ash and cash equivalents T ime deposits placed and other short-term investments Federal funds sold and securities borrowed or purchased under agreements to resell T rading account assets Derivative assets Debt securities: A vailable-for-sale Held-to-maturity, at cost T otal debt securities Loans and leases, net of allowance: Loans and leases A llowance for loan and lease losses T otal loans and leases, net of allowance P remises and equipment, net $18 535 $14,096 Mortgage servicing rights (includes $18,535, $14 096 and $4 $4,250 250 measured at fair value) G oodwill Intangible assets Loans held-for-sale O ther assets T otal assets L iabilities Deposits in domestic offices: Noninterest-bearing Interest-bearing Deposits in foreign offices: Noninterest-bearing Interest-bearing T otal deposits Federal funds purchased and securities loaned or sold under agreements to repurchase T rading account liabilities Derivative liabilities C ommercial paper and other short-term borrowings $1,992, , , $2,102 and $507 of reserve for A ccrued expenses and other liabilities (includes $ unfunded lending commitments) Long-term debt T otal liabilities Shareholders' equity P referred stock, $0.01 par value; authorized - 100,000,000 shares; issued and outstanding - 5,760,731, 9,778,142 and 7,602,067 shares C ommon stock and additional paid-in capital, $0.01 par value; authorized - 10,000,000,000, 10,000,000,000, and 7,500,000,000 shares; issued and outstanding - 8,651,459,122, 6,400,949,995 and 4,452,947,217 shares R etained earnings A ccumulated l d other h comprehensive h i income i (l (loss)) O ther T otal shareholders' equity T otal liabilities and shareholders' equity

C ertain prior period amounts have been reclassified to conform to current period presentation.

15

March 31 2009

J une 30 2008

$140,366 25,710 184,685 199,471 101,707

$173,460 23,947 153,230 203,131 137,311

$39,127 7,649 107,070 167,837 42,039

257,519 9,719 267,238

254,194 8,444 262,638

248,591 1,268 249,859

942,248 (33,785) 908,463 15,667 18 857 18,857 86,246 13,245 50,994 241,745 $2,254,394

977,008 (29,048) 947,960 15,549 14 425 14,425 86,910 13,703 40,214 249,485 $2,321,963

870,464 (17,130) 853,334 11,627 4 577 4,577 77,760 9,603 23,630 122,763 $1,716,875

$248,757 650,725

$233,902 639,616

$199,587 497,631

4,560 66,700 970,742 263,639 53,384 51,300 96,236

4,133 75,857 953,508 246,734 52,993 76,582 185,816

3,432 84,114 784,764 238,123 70,806 21,095 177,753

116,754 447,187 1,999,242

126,030 440,751 2,082,414

55,038 206,605 1,554,184

58,660

73,277

24,151

128,717 79,210 (11 227) (11,227) (208) 255,152 $2,254,394

100,864 76,877 (11 164) (11,164) (305) 239,549 $2,321,963

61,109 79,920 (1 864) (1,864) (625) 162,691 $1,716,875

Earnings Per Share Diluted Earnings Per Share - Annual $4.59 $4.04 $3.64

$3.55

$3.30 $3.05

$2.24

$2.26

$2.30

$0.55

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

Diluted Earnings Per Share - Quarterly $1.28 $1.16

$0.82 $0.72

$0.44 $0.33 $0.23 $0.15 $0.05

1Q07

2Q07

3Q07

4Q07

1Q08

2Q08

3Q08

4Q08

$(0.48)

16

1Q09

2Q09

Dividend Per Share and Payout Ratio Dividends Per Share & Payout Ratio - Annual (1) 407.3% $2.40 $2.24

$2.12 $1.90 $1.70 $1.44

$0.93

$1.03

$1.14

$1.22

72.7% 41.5%

45.6%

49.6%

1999

2000

2001

40.0%

40.6%

46.7%

2002

2003

2004

Dividends Per Share

47.0%

46.2%

2005

2006

2007

2008

Dividend Payout Ratio

Dividends Per Share & Payout Ratio - Quarterly (1) 361.3%

$0.64 $0.56

$0.64

$0.64

$0.64

$0.64 222.7%

222.6%

$0.56

194.0% 140.7%

$0 32 $0.32

104.2% 72.5% 46.5%

1Q07 Q0

46.9%

2Q07 Q0

52.5%

3Q07 3Q0

4Q07 Q0

1Q08 Q08

2Q08 Q08

Dividends Per Share (1) Dividend

3Q08

4Q08 Q08

$0.01

$0.01

1Q09 Q09

2Q09 Q09

Dividend Payout Ratio

payout ratio is calculated on a trailing twelve-month basis.

Note: On 7/21/2009, the Board of Directors (the Board) declared a regular quarterly cash dividend on common stock of $0.01 per share, payable on 9/25/2009 to common stockholders of record on 9/4/2009.

17

Return on Equity R t E it - Annual A l Return on Equity 21.5% 20.0% 16.9%

16.0% 16 0%

16.5%

16.5%

15.4%

16.3%

11.1%

1.8%

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

Return on Equity - Quarterly

17.55% 16.16%

11.02% 9.25% 7.10% 5.59% 2.90%

1.97%

0.60%

1Q07

2Q07

3Q07

4Q07

1Q08

2Q08

3Q08

4Q08

-6.68%

18

1Q09

2Q09

Return on Assets Return on Assets - Annual

1.46%

1.44%

1.44% 1.34%

1 28% 1.28% 1.12%

1.30%

1.16% 0.94%

0.22%

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

Return on Assets - Quarterly

1.40%

1.48%

0.93% 0.78% 0 78% 0.68% 0.53% 0.28%

0.25%

0.06%

1Q07

2Q07

3Q07

4Q07

1Q08

2Q08

3Q08

4Q08 -0.37%

19

1Q09

2Q09

Noninterest Income – Annual $ in Millions

$38,182

$32,392

$27,422

$26,438 $22,729 $18,270 $16,338 $14,419

$14,607

1999

2000

$15 504 $15,504

2001

2002

2003

2004

2005

2006

2007

2008

$ in Millions Service charges C ard income Mortgage banking Investment & brokerage Investment banking T rading G ains (losses) on sales of debt securities O ther income T otal noninterest income % off T otal t l R ev enue

$

$

1999 4,340 $ 2,006 648 1,748 1,411 1,605 240 2,421 14,419 $

2000 4,543 $ 2,229 512 1,929 1,512 1,923 25 1,934 14,607 $

2001 4,943 $ 2,422 593 2,112 1,579 1,842 475 2,372 16,338 $

2002 5,276 $ 2,620 761 2,237 1,545 778 630 1,657 15,504 $

2003 5,618 $ 3,052 1,922 2,371 1,736 408 941 2,222 18,270 $

2004 6,989 $ 4,592 414 3,614 1,886 869 1,724 2,641 22,729 $

2005 7,704 $ 5,753 805 4,184 1,856 1,763 1,084 3,289 26,438 $

2006 8,224 $ 14,290 541 4,456 2,317 3,358 (443) 5,439 38,182 $

2007 8,908 $ 14,077 902 5,147 2,345 (4,889) 180 5,722 32,392 $

44%

44%

45%

44%

47%

45%

46%

52%

48%

20

2008 10,316 13,314 4,087 4,972 2,263 (5,911) 1,124 (2,743) 27,422 38%

Noninterest Income – Quarterly $ in Millions $23,261 $21,144

$11,236 $9,887

$9,789 $7,979

$7,480

$7,080

$3,639 $2,574

1Q07

2Q07

3Q07

4Q07

$ in Millions Service charges C ard income Mortgage banking Investment & brokerage Investment banking T rading G ains (losses) on sales of debt securities O ther income T otal noninterest income % off T otal t l R ev enue

$

$

1Q 2,072 3,333 213 1,149 638 872 62 1,548 9,887 55%

$

$

1Q08

2Q08

3Q08

4Q08

1Q09

2Q09

2007 2Q 2,200 $ 3,558 148 1,193 774 949 2 2,412 11,236 $

3Q 2,221 $ 3,595 155 1,378 389 (1,388) 7 1,123 7,480 $

4Q 2,415 $ 3,591 386 1,427 544 (5,380) 109 547 3,639 $

1Q 2,397 $ 3,639 451 1,340 476 (1,783) 225 335 7,080 $

2008 2Q 2,638 $ 3,451 439 1,322 695 357 127 760 9,789 $

3Q 2,722 $ 3,122 1,674 1,238 474 (384) 10 (877) 7,979 $

4Q 2,559 $ 3,102 1,523 1,072 618 (4,101) 762 (2,961) 2,574 $

2009 1Q 2,533 $ 2,865 3,314 2,963 1,055 5,201 1,498 3,832 23,261 $

57%

46%

28%

41%

48%

41%

16%

65%

21

2Q 2,729 2,149 2,527 2,994 1,646 2,164 632 6,303 21,144 65%

Noninterest Expense – Annual $ in Millions

$45,000 $40,000 18%

$35,000 $30,000

19%

$25,000

5% 13%

$20,000 $15,000 $ , $10,000

45%

$5,000 $1999 Personnel

2000

2001

2002

Occupancy & Equipment

2003

2004

Intangibles Amort.

2005

2006

Mktg., Prof., D.P., & Tele.

2007

2008

Other Expenses

$ in Millions Personnel

$

1999 9,308 $

2000 9,400 $

2001 9,829 $

2002 9,682 $

2003 10,446 $

2004 13,435 $

2005 15,054 $

2006 18,211 $

2007 18,753 $

2008 18,371

Occupancy

1,627

1,682

1,774

1,780

2,006

2,379

2,588

2,826

3,038

3,626

Equipment

1,346

1,173

1,115

1,124

1,052

1,214

1,199

1,329

1,391

1,655

2,973

2,855

2,889

2,904

3,058

3,593

3,787

4,155

4,429

5,281

Intangibles Amort.

Total Occup. & Equip.

888

864

878

218

217

664

809

1,755

1,676

1,834

Marketing

537

621

682

753

985

1,349

1,255

2,336

2,356

2,368

Professional Fees

630

452

564

525

844

836

930

1,078

1,174

1,592

Data Processing

763

667

776

1,017

1,104

1,330

1,487

1,732

1,962

2,546

Telecommunications

549

527

484

481

571

730

827

945

1,013

1,106

2,479

2,267

2,506

2,776

3,504

4,245

4,499

6,091

6,505

7,612

Total Mktg., Prof., D.P., & Tele. Other Operating Expense Total Operating Expense Merger and restructuring charges Efficiency Ratio (1)

(1)

$

2,338 17,986

$

2,697 18,083

$

3,302 19,404

$

2,856 18,436

$

2,930 20,155

$ $

56.9%

56.0%

57.4%

51.8%

Fully taxable equivalent

22

51.1%

4,457 26,394

$

618 $ 52.6%

4,120 28,269

$

412 $ 49.4%

5,909 36,121

$

805 $ 48.4%

5,751 37,114

$

410 $ 54.7%

7,496 40,594 935 56.1%

Noninterest Expense – Quarterly $ in Millions

$18,000 $16,000 25%

$14,000 $12,000

12% $10,000

3% 11%

$8,000 $6,000 $ , $4,000

48%

$2,000 $1Q07

2Q07

Personnel

3Q07

4Q07

Occupancy & Equipment

1Q08

2Q08

Intangibles Amort.

3Q08

4Q08

Mktg., Prof., D.P., & Tele.

1Q09

2Q09

Other Expenses

$ in Millions

Personnel

$

1Q 5,025

$

2007 2Q 4,737 $

3Q 4,169

$

4Q 4,822

$

1Q 4,726

$

2008 2Q 4,420 $

3Q 5,198

$

4Q 4,027

$

2009 1Q 8,768 $

2Q 7,790

Occupancy

713

744

754

827

849

848

926

1,003

1,128

Equipment

350

332

336

373

396

372

440

447

622

616

1,063

1,076

1,090

1,200

1,245

1,220

1,366

1,450

1,750

1,835

Total Occup. & Equip.

1,219

Intangibles Amort.

389

391

429

467

446

447

464

477

520

516

Marketing

555

537

552

712

637

571

605

555

521

499

Professional Fees

229

283

258

404

285

362

424

521

405

544

Data Processing

437

472

463

590

563

587

755

641

648

621

Telecommunications

251

244

255

263

260

266

288

292

327

345

1,472

1,536

1,528

1,969

1,745

1,786

2,072

2,009

1,901

2,009

$

1,037 8,986

$

1,340 9,080

$

1,314 8,530

1,811 10,269

931 9,093

1,574 9,447

2,313 11,413

2,678 10,641

3,298 16,237

4,041 16,191

$

111

$

75

$

Total Mktg., Prof. D.P., & Tele. Other Operating Expense Total Operating Expense Merger and restructuring charges Efficiency Ratio (1)

(1)

49.2%

45.7%

$

84 $ 52.9%

$

140 $ 77.4%

Fully taxable equivalent

23

$

170 $ 53.3%

$

212 $ 46.6%

$

247 $ 58.6%

$

306 $ 68.5%

$

765 $ 47.1%

829 51.4%

Rate Environment Yield Curves as of 6/30/2009 Yearly Average Rates 4.50% 4.00% 3 50% 3.50% 3.00% 2.50% 2.00% 1.50% 1.00% 0.50% 0.00% 1ML

3ML

6ML

1Y Libor

2Y Swap

2009

3Y Swap

5Y Swap

10Y Swap

2008

3M Libor vs. FF

Path of Federal Funds Rate

Monthly Average Rates

3.50%

6.00%

3.00%

5.00%

2.50%

4.00%

2.00% 3.00% 1.50% 2 00% 2.00%

1.00%

Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09

Jun-09

May-09

Apr-09

Mar-09

Jan-09

Feb-09

Dec-08

Oct-08

Nov-08

Sep-08

Jul-08

Aug-08

Jun-08

Apr-08

May-08

0.00% Mar-08

0.00% Jan-08

1.00%

Feb-08

0.50%

F d Funds Fed F d

24

3M Lib Libor

S Spread d

Net Interest Income and Net Interest Yields – Annual $ in Millions

3.96% 3.68%

3.96%

3.75%

3.80%

3.75%

3.45% 3.26% 3 26%

3.20%

3.42%

3.17% 2.84%

3.40% 2.98%

2.82% 2.60%

$46,554

$28,677 $18,342

$18,671

1999

2000

$20,633

$21,511

$21,149

2001

2002

2003

Net interest income (FTE)

2004

$35,815

$36,190

2006

2007

$31 569 $31,569

2005

Net interest yield

2008

Net interest yield (excl. trading)

Balance Sheet Ratios Liquidity Ratios Loans & Leases/Domestic deposits Loans & Leases/Earning assets Total securities/Earning assets Market based assets/Earning assets Interest Rates and Yields Loan & Lease yield Securities yield Earning assets yield Interest-bearing deposit rate Interest-bearing liabilities rate Net interest yield Net interest yield (excl. trading) (1) Managed net interest yield (excl. trading) (1, 2)

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

106% 68% 15%

111% 67% 14%

117% 65% 11%

101% 59% 13%

96% 55% 11% 27%

95% 52% 17% 27%

100% 48% 20% 29%

111% 51% 20% 29%

126% 56% 13% 30%

125% 58% 16% 24%

7.63% 6.00% 7.04% 3.56% 4.32%

8.15% 6.07% 7.45% 4.20% 5.09%

7.50% 6.23% 6.90% 3.35% 3.94%

6.58% 5.44% 5.71% 2.07% 2.42%

6.04% 4.44% 4.90% 1.59% 2.01%

5.95% 4.88% 4.82% 1.48% 1.98%

6.50% 5.03% 5.35% 2.08% 2.97%

7.43% 5.26% 6.29% 2.92% 3.99%

7.25% 5.37% 6.41% 3.33% 4.33%

6.18% 5.34% 5.56% 2.39% 2.88%

3.45%

3.20%

3.68%

3.75%

3.26% 3.96% 3.99%

3.17% 3.93% 3.99%

2.84% 3.71% 3.75%

2.82% 3.80% 4.13%

2.60% 3.42% 3.82%

2.98% 3.40% 3.82%

(1) Excludes

the impact of market-based amounts included in Global Markets

(2) Includes

the impact of securitizations utilizing actual bond costs

25

Net Interest Income and Net Interest Yields – Quarterly $ in Millions

3.57%

2.61%

3.50%

2.59%

3.65% 3.38%

2.61%

$8,597

$8,784

$8,992

1Q07

2Q07

3Q07

3.28%

3.28%

3.46%

3.40%

2.92%

2.93%

3.31%

2.73%

2.61%

2.70%

$9,815

$10,291

$10,937

4Q07

1Q08

2Q08

Net interest income (FTE)

3.14%

3.11%

$11,920

$13,406

$12,819

4Q08

1Q09

3Q08

Net interest yield

2.64%

$11,942

2Q09

Net interest yield (excl. trading)

Balance Sheet Ratios Based on Quarterly Average Balances 2007 1Q

2Q

2008 3Q

4Q

1Q

2Q

2009 3Q

4Q

1Q

2Q

Liquidity Ratios Loans & Leases/Domestic deposits Loans & Leases/Earning assets Total securities/Earning assets Market based assets/Earning assets

121% 56% 14% 31%

128% 57% 13% 31%

130% 57% 13% 30%

130% 58% 14% 27%

129% 58% 15% 26%

128% 59% 16% 24%

124% 58% 16% 23%

119% 58% 17% 19%

114% 52% 15% 26%

108% 53% 14% 26%

Interest Rates and Yields Loan & Lease yield Securities yield Market-based assets yield Earning assets yield Interest-bearing deposit rate Interest-bearing liabilities rate

7.31% 5.27% 0.48% 6.37% 3.19% 4.31%

7.26% 5.39% 0.60% 6.38% 3.27% 4.34%

7.25% 5.45% 0.77% 6.48% 3.39% 4.43%

7.21% 5.40% 0.79% 6.39% 3.44% 4.25%

6.64% 5.17% 1.19% 5.89% 3.04% 3.55%

6.04% 5.04% 1.27% 5.44% 2.38% 2.87%

6.03% 5.52% 1.33% 5.52% 2.31% 2.86%

6.06% 5.57% 1.86% 5.40% 1.91% 2.30%

5.46% 5.47% 1.51% 4.74% 1.40% 2.11%

5.15% 5.26% 1.23% 4.40% 1.15% 1.84%

Net Interest Yield Net interest yield (excl. trading) (1) Managed g net interest yyield ((excl. trading) g) (1, 2)

2.61% 3.57% 3.95% 3 95%

2.59% 3.50% 3.91% 3 9 %

2.61% 3.38% 3.80% 3 80%

2.61% 3.28% 3.66% 3 66%

2.73% 3.28% 3.69% 3 69%

2.92% 3.46% 3.90% 3 90%

2.93% 3.40% 3.83% 3 83%

3.31% 3.65% 4.05% 05%

2.70% 3.11% 3.65% 3 65%

2.64% 3.14% 3.72% 3 %

(1) Excludes

the impact of market-based amounts included in Global Markets

(2) Includes

the impact of securitizations utilizing actual bond costs

26

Quarterly Average Balance Sheet and Yields Table* (Dollars in millions)

Second Q uarter 2009 Interest A verag e Income/ Y ield/ B alance E x pense R ate E arning assets T ime deposits placed and other short-term investments F ederal funds sold and securities borrowed or purchased under agreements to resell T rading account assets Debt securities (1) Loans and leases (2) : R esidential mortgage (3) Home equity Discontinued real estate C redit card - domestic C redit card - foreign Direct/Indirect consumer (4) O ther consumer (5) T otal consumer C ommercial - domestic C ommercial real estate (6) C ommercial lease financing C ommercial - foreign T otal commercial T otal loans and leases O ther earning assets T otal earning assets (7) C ash and cash equivalents O ther assets, less allowance for loan and lease losses T otal assets Interest-bearing liabilities Domestic interest-bearing deposits: Savings NO W and money market deposit accounts C onsumer C Ds and IR A s Negotiable C Ds, public funds and other time deposits T otal domestic interest-bearing deposits F oreign interest-bearing deposits: Banks located in foreign countries G overnments and official institutions T ime, savings and other T otal foreign interest-bearing deposits T otal interest-bearing deposits F ederal funds purchased and securities loaned or sold under agreements to repurchase and other short-term borrowings T rading account liabilities Long-term debt T otal interest-bearing liabilities (7) Noninterest-bearing sources: Noninterest-bearing deposits O ther liabilities Shareholders' equity T otal liabilities and shareholders' equity Net interest spread Impact of noninterest-bearing sources

F irst Q uarter 2009 Interest A verage Income/ Y ield/ Balance E xpense R ate

Second Q uarter 2008 Interest A verage Income/ Y ield/ Balance E xpense R ate

$25,604

$169

2.64 %

$26,158

$191

2.96 %

$10,310

$87

230,955 223,102 255,159

690 2,028 3,353

1.20 3.64 5.26

244,280 259,322 286,249

1,155 2,499 3,902

1.90 3.89 5.47

126,169 184,547 235,369

800 2,282 2,963

2.54 4.95 5.04

253,803 156,599 18,309 51,721 18,825

3,489 1,722 303 1,375 506

5.50 4.41 6.61 10.66 10.77

265,121 158,575 19,386 58,960 16,858

3,680 1,787 386 1,606 449

5.57 4.55 7.97 11.05 10.81

256,164 120,265 n/a 61,655 16,566

3,541 1,627 n/a 1,603 512

5.54 5.44 n/a 10.45 12.43

100,302 3,298 602,857 231,639 75,559 22,026 34,024 363,248 966,105 111,056 1,811,981 204,354 403,982 $2,420,317

1,532 63 8,990 2,176 627 260 360 3,423 12,413 1,251 19,904

6.12 7.77 5.97 3.77 3.33 4.72 4.24 3.78 5.15 4.52 4.40

100,741 3,408 623,049 240,683 72,206 22,056 36,127 371,072 994,121 102,353 1,912,483 153,007 453,644 $2,519,134

1,684 64 9,656 2,485 550 279 462 3,776 13,432 1,299 22,478

6.78 7.50 6.25 4.18 3.09 5.05 5.18 4.12 5.46 5.12 4.74

82,593 3,953 541,196 219,537 62,810 22,276 32,820 337,443 878,639 65,200 1,500,234 33,799 220,580 $1,754,613

1,731 84 9,098 2,762 737 243 366 4,108 13,206 1,005 20,343

8.43 8.36 6.75 5.06 4.72 4.37 4.48 4.89 6.04 6.19 5.44

$34,367 342,570 342 570 229,392 39,100 645,429

$54 376 1,409 124 1,963

0.63 % 0 44 0.44 2.46 1.28 1.22

$32,378 343,215 343 215 235,787 31,188 642,568

$58 435 1,715 149 2,357

0.72 % 0 51 0.51 2.95 1.94 1.49

$33,164 258 104 258,104 178,828 24,216 494,312

$64 856 1,646 195 2,761

0.77 % 1 33 1.33 3.70 3.25 2.25

19,261 7,379 54,307 80,947 726,376

37 4 78 119 2,082

0.76 0.22 0.58 0.59 1.15

26,052 9,849 58,380 94,281 736,849

48 6 132 186 2,543

0.75 0.25 0.92 0.80 1.40

33,777 11,789 55,403 100,969 595,281

272 77 410 759 3,520

3.25 2.62 2.97 3.02 2.38

503,451 63,551 444,131 1,737,509

1,396 450 4,034 7,962

1.11 2.84 3.64 1.84

591,928 70,799 446,975 1,846,551

2,221 579 4,316 9,659

1.52 3.32 3.89 2.11

444,578 70,546 205,194 1,315,599

3,087 749 2,050 9,406

2.79 4.27 4.00 2.87

248,516 191,425 242,867 $2,420,317

Net interest income/y ield on earning assets

227,232 216,585 228,766 $2,519,134

190,721 86,865 161,428 $1,754,613

2.56 % 0.08 $11,942

2.64 %

2.63 % 0.07 $12,819

2.70 %

2.57 % 0.35 $10,937

(1) Y ields on A F S debt securities are calculated based on fair value rather than historical cost balances. T he use of fair value does not have a material impact on net interest yield. (2) Nonperforming loans are included in the respective average loan balances. Income on these nonperforming loans is recognized on a cash basis. W e account for acquired impaired loans in accordance with SO P 03-3. Loans accounted for in accordance with SO P 03-3 were written down to fair value upon acquisition and accrete interest income over the remaining life of the loan. (3) Includes foreign residential mortgages of $675 million and $627 million for the second and first quarters of 2009. (4) Includes foreign consumer loans of $8.0 billion and $7.1 billion in the second and first quarters of 2009, and $3.0 billion in the second quarter of 2008. (5) Includes consumer finance loans of $2.5 and $2.6 billion in the second and first quarters of 2009, and $2.8 billion in the second quarter of 2008; and other foreign consumer loans of $640 million and $596 million in the second and first quarters of 2009, and $862 million in the second quarter of 2008. (6) Includes domestic commercial real estate loans of $72.8 billion and $70.9 billion in the second and first quarters of 2009, and $61.6 billion in the second quarter of 2008, and foreign commercial real estate loans of $2.8 billion and $1.3 billion in the second and first quarters of 2009, and $1.3 billion in the second quarter of 2008. (7) Interest income includes the impact of interest rate risk management contracts, which decreased interest income on the underlying assets $11 million and $61 million in the second and first quarters of 2009, and $104 million in the second quarter of 2008. Interest expense includes the impact of interest rate risk management contracts, which increased (decreased) interest expense on the underlying liabilities $(550) million and $(512) million in the second and first quarters of 2009, and $37 million in the second quarter of 2008. n/a = not applicable C ertain prior period amounts have been reclassified to conform to current period presentation.

*Fully taxable-equivalent basis

27

3.40 %

2.92 %

Loan Portfolio B ank of A merica C orporation and Subsidiaries

O utstanding L oans and L eases (Dollars in millions)

J une 30 2009

March 31 2009

Increase (Decrease)

C onsumer R esidential mortgage Home equity

(1)

Discontinued real estate

(2)

C redit card - domestic C redit card - foreign Direct/Indirect consumer O ther consumer

(3)

(4)

T otal consumer

$245,967 155,058

$261,583 $261 583 157,645

$(15,616) $(15 616) (2,587)

17,490

19,000

(1,510)

48,948

51,309

(2,361)

20,429

16,651

3,778

99,154

99,696

(542)

3,390

3,297

93

590,436

609,181

(18,745)

C ommercial C ommercial - domestic

(5)

217,571

229,779

(12,208)

C ommercial real estate

(6)

75,081

75,269

(188)

C ommercial lease financing

22,387

22,017

370

C ommercial - foreign

29,811

33,407

(3,596)

344,850

360,472

(15,622)

T otal commercial loans C ommercial loans measured at fair value

(7)

T otal commercial T otal loans and leases

6,962

7,355

(393)

351,812

367,827

(16,015)

$942,248

$977,008

$(34,760)

(1) Includes foreign residential mortgages of $710 million and $651 million at J une 30, 2009 and March 31, 2009. (2) At J une 30, 2009 and March 31, 2009, includes $15.9 billion and $17.3 billion of pay option loans, and $1.6 billion and $1.7 billion of subprime loans obtained as part of the acquisition of C ountrywide. T he C orporation no longer originates these products. (3) Includes dealer financial services of $40.9 billion and $40.1 billion, consumer lending of $24.2 billion and $26.6 billion, and securities based lending margin loans of $11.0 billion and $10.4 billion at J une 30, 2009 and March 31, 2009. In addition, includes foreign consumer loans of $7.7 billion and $7.5 billion at J une 30, 2009 and March 31, 2009. (4) Includes consumer finance loans of $2.4 billion and $2.5 billion, and other foreign consumer loans of $721 million and $618 million at J une 30, 2009 and March 31, 2009. (5) Includes small business commercial - domestic loans, primarily card related, of $18.1 billion and $18.8 billion at J une 30, 2009 and March 31, 2009. (6) Includes domestic commercial real estate loans of $71.6 billion and $73.0 billion, and foreign commercial real estate loans of $3.5 billion and $2.2 billion at J une 30, 2009 and March 31, 2009. (7) C ertain commercial loans are measured at fair value in accordance with SF AS 159 and include commercial - domestic loans of $4.4 billion and $4.8 billion, commercial - foreign loans of $2.5 billion and $2.5 billion, and commercial real estate loans of $123 million and $89 million at J une 30, 2009 and March 31, 2009. C ertain prior period amounts have been reclassified to conform to current period presentation.

28

Nonperforming Assets $ in Millions 1.96%

$20,000

2.00%

10% 1.53%

1.49%

$15,000

1.50%

1.39% 36%

$10,000

1.00%

0.86%

0.81% 5%

$5,000 5%

64%

58%

$-

37%

31%

1999

2000

4%

8%

0.47% 5%

82%

78%

0.28%

10%

74%

14%

14%

21%

60% 30%

2001

2002

2003

2004

Total consumer Foreclosed properties & Nonperforming securities

$ in Millions R esidential mortgage Home equity Discontinued real estate Direct/Indirect consumer O ther consumer T otal consumer (1) C ommercial - domestic C ommercial - foreign C ommercial real estate C ommercial lease financing Small business commercial - domestic T otal commercial T otal nonperforming loans and leases F oreclosed properties Nonperforming securities (2, 3, 4) T otal nonperforming assets (5)

A llowance for loan and lease losses (5) A llowance for loan and lease losses/T otal loans and leases outstanding A llowance for loan and lease losses/T otal nonperforming loans and leases

(5)

54%

36%

0.26%

6% 45% 49%

4% 41% 55%

58%

2005

2006

2007

0.50%

0.00% 2008

Total commercial Nonperforming assets/Total loans, leases, & foreclosed properties

$

(5)

Nonperforming assets/T otal assets Nonperforming assets/T otal loans, leases, & foreclosed properties

0.68% 6%

1999 529 $ 46

2000 551 $ 32

2001 556 $ 80

2002 612 $ 66

2003 531 $ 43

2004 554 $ 66

2005 570 $ 117

33 85 738 855 267 87 266

37 61 785 581 34 49 62

2006 2007 2008 660 $ 1,999 $ 7,057 291 1,340 2,637 77 2 8 26 77 95 91 1,030 3,442 9,888 584 852 2,040 13 19 290 , 3,906 , 118 1,099 42 33 56 152 205 757 2,155 6,497 1,787 5,597 16,385 69 351 1,827

19 605 1,199 1,163 486 194

19 1,104 1,706 2,777 486 239

27 16 679 3,123 461 243

30 25 733 2,781 1,359 164

28 36 638 1,388 578 142 127

1,846 3,045 163

3,505 5,211 249

3,830 4,509 402

4,307 5,040 225

2,235 2,873 148

$ 3,208

$ 5,460

$ 4,911

$ 5,265

$ 3,021

$ 1,856

$ 5,948

$ 18,212

0.51% 0.86%

0.85% 1.39%

0.79% 1.49%

0.80% 1.53%

0.42% 0.81%

0.22% 0.47%

0.12% 0.28%

0.13% 0.26%

0.35% 0.68%

1.00% 1.96%

$ 6,828 1.84% 224%

$ 6,838 1.74% 131%

$ 6,875 2.09% 153%

$ 6,358 1.85% 126%

$ 6,163 1.66% 215%

$ 8,626 1.65% 390%

$ 8,045 1.40% 532%

$ 9,016 1.28% 505%

$ 11,588 1.33% 207%

$ 23,071 2.49% 141%

1,475 726 2,213 1,511 102 92 140 $ 2,455 $ 1,603

(1) E xcludes small business commercial - domestic loans. (2) Balances do not include loans accounted for in accordance with S O P 03-3 even though the customer may be contractually past due. Loans accounted for in accordance with SO P 03-3 were written down to fair value upon acquisition and accrete interest income over the remaining life of the loan. (3) Balances do not include nonperforming loans held-for-sale included in other assets of $1.3 billion, $848 million, $388 million, $327 million and $188 million at December 31, 2008, September 30, 2008, J une 30, 2008, March 31, 2008 and December 31, 2007, respectively. (4) Balances do not include loans measured at fair value in accordance with SF A S 159. A t December 31, 2008, September 30, 2008, J une 30, 2008, March 31, 2008 and December 31, 2007, there were no nonperforming loans measured at fair value in accordance with SF A S 159. A t J une 30, 2008, there were $81 million of loans past due 90 days or more and still accruing interest measured at fair value in accordance with SF A S 159. A t December 31, 2008, September 30, 2008, March 31, 2008 and December 31, 2007, there were no loans past due 90 days or more and still accruing interest measured at fair value in accordance with S F A S 159. (5) Ratios do not include loans measured at fair value in accordance with SF A S 159 of $5.4 billion, $5.4 billion, $5.0 billion, $5.1 billion and $4.6 billion at December 31, 31 2008 2008, September 30 30, 2008 2008, J une 30 30, 2008 2008, March 31 31, 2008 and December 31 31, 2007 2007, respectively respectively. Loans are classified as domestic or foreign based upon the domicile of the borrower. C ertain prior period amounts have been reclassified to conform to current period presentation.

29

Nonperforming Assets $ in Millions Residential mortgage Home equity Discontinued real estate Direct/Indirect consumer Other consumer Total Consumer Commercial - domestic (1) Commercial - foreign Commercial real estate Commercial lease financing Small business commercial - domestic Total commercial Total nonperforming loans and leases Foreclosed properties Total nonperforming assets (2, 3, 4)

$

1Q 732 363

$

2007 2Q 3Q 867 $ 1,176 496 764

4Q $ 1,999 1,340

1Q $ 2,576 1,786

2 133 1,230 404 29 189 21 97 740 1,970 89

3 94 1,460 392 17 280 27 108 824 2,284 108

6 94 2,040 638 16 352 29 105 1,140 3,180 192

8 95 3,442 852 19 1,099 33 152 2,155 5,597 351

6 91 4,459 980 54 1,627 44 169 2,874 7,333 494

$ 2,059

$ 2,392

$ 3,372

$ 5,948

$ 7,827

2008 2Q 3Q $ 3,269 $ 4,638 1,851 2,049 33 11 13 89 89 5,220 6,822 1,079 1,566 48 48 2,616 3,090 40 35 153 183 3,936 4,922 9,156 11,744 593 1,832

4Q $ 7,057 2,637 77 26 91 9,888 2,040 290 3,906 56 205 6,497 16,385 1,827

2009 1Q 2Q $ 10,846 $ 13,615 3,497 3,826 129 181 29 57 91 93 14,592 17,772 3,022 4,204 300 250 5,662 6,651 104 104 224 200 9,312 11,409 23,904 29,181 1,728 1,801

$ 9,749

$ 18,212

$ 25,632

$ 13,576

$ 30,982

Loans past due 90 days or more and still accruing (2, 4, 5) Nonperforming assets/Total assets (6) Nonperforming assets/Total loans, leases, & foreclosed properties (6)

$ 2,870 $ 2,798 $ 2,995 $ 3,736 $ 4,160 $ 4,548 $ 4,819 $ 5,414 $ 6,344 $ 6,403 0.14% 0.16% 0.21% 0.35% 0.45% 0.57% 0.74% 1.00% 1.11% 1.38% 0.29% 0.32% 0.43% 0.68% 0.90% 1.13% 1.45% 1.96% 2.64% 3.31%

Allowance for loan and lease losses Reserve for unfunded lending commitments Total allowance for credit losses Allowance for loan and lease losses/Total loans and leases outstanding (6, 8) Allowance for loan and lease losses/Total nonperforming loans and leases (6, 8)

$ 8 8,732 732 $ 9,060 9 060 $ 9,535 9 535 $ 11,588 11 588 $ 14,891 14 891 $ 17,130 17 130 $ 20,346 20 346 $ 23,071 23 071 $ 29,048 29 048 $ 33,785 33 785 374 376 392 518 507 507 427 421 2,102 1,992 $ 9,106 $ 9,436 $ 9,927 $ 12,106 $ 15,398 $ 17,637 $ 20,773 $ 23,492 $ 31,150 $ 35,777 1.21% 1.20% 1.21% 1.33% 1.71% 1.98% 2.17% 2.49% 3.00% 3.61% 443% 397% 300% 207% 203% 187% 173% 141% 122% 116%

Reservable commercial utilized criticized exposure (7) Reservable commercial utilized criticized exposure/Commercial utilized exposure (7)

$ 7,119 $ 7,187 $ 10,820 $ 17,176 $ 21,157 $ 25,998 $ 31,009 $ 36,937 $ 48,660 $ 57,180 2.24% 2.17% 3.05% 4.46% 5.43% 6.23% 7.45% 8.90% 11.13% 13.53%

(1) Excludes small business commercial - domestic loans. (2) Balances do not include loans accounted for in accordance with SOP 03-3 even though the customer may be contractually past due. Loans accounted for in accordance with SOP 03-3 were written down to fair value upon acquisition and accrete interest income over the remaining life of the loan. (3) Balances do not include nonperforming loans held-for-sale of $2.6 $2 6 billion, billion $2.5 $2 5 billion, billion $1.3 $1 3 billion, billion $848 million and $388 million at June 30 30, 2009 2009, March 31 31, 2009 2009, December 31 31, 2008, September 30, 2008 and June 30, 2008, respectively. (4) Balances do not include loans measured at fair value in accordance with SFAS 159. At June 30, 2009, March 31, 2009, December 31, 2008, September 30, 2008 and June 30, 2008, there were no nonperforming loans measured at fair value in accordance with SFAS 159. At June 30, 2008, there were $81 million of loans past due 90 days or more and still accruing interest measured at fair value in accordance with SFAS 159. At June 30, 2009, March 31, 2009, December 31, 2008 and September 30, 2008, there were no loans past due 90 days or more and still accruing interest measured at fair value in accordance with SFAS 159. (5) Balances do not include loans held-for-sale past due 90 days or more and still accruing interest included in other assets of $0, $18 million, $31 million, $138 million and $32 million at June 30, 2009, March 31, 2009, December 31, 2008, September 30, 2008 and June 30, 2008, respectively. (6) Ratios do not include loans measured at fair value in accordance with SFAS 159 of $7.0 billion, $7.4 billion, $5.4 billion, $5.4 billion and $5.0 billion at June 30, 2009, March 31, 2009, December 31, 2008, September 30, 2008 and June 30, 2008, respectively. (7) Criticized exposure and ratios exclude assets held-for-sale, exposure measured at fair value in accordance with SFAS 159 and other nonreservable exposure. Including assets held-for-sale, other nonreservable exposure and commercial loans measured at fair value, the ratios would have been 14.93 percent, 12.63 percent, 9.45 percent, 7.94 percent and 6.62 percent at June 30, 2009, March 31, 2009, December 31, 2008, September 30, 2008 and June 30, 2008, respectively. (8) The Corporation accounts for acquired impaired loans in accordance with SOP 03-3. Loans are classified as domestic or foreign based upon the domicile of the borrower. Certain prior period amounts have been reclassified to conform to current period presentation.

30

Net Charge-offs and Provision Expense $ in Billions 1.79% $26.8

1.16%

1.10% 0.87%

0.55%

$16.2

0.85%

0.84% 0.70%

0.66%

0.61%

$8.4 $6.5 $4.2 $4.3 $2.0 $1.8

$2.4 $2.5

1999

2000

2001

$3.7 $3.7

2002

Net charge-offs

$4.6 $3.1 $2.8

$3.1 $2.8

2003

2004

$4.0

$4.5 $5.0

2005

Provision expense

2006

2007

2008

Net charge-off ratio

Year-to-Date Net Charge-offs/Losses and Net Charge-off/Loss Ratios

(1)

$ in Millions Residential mortgage Home equity Discontinued real estate Credit card domestic Credit card foreign Consumer direct/indirect Other consumer Total consumer C Commercial i l-d domestic i (2) Commercial - foreign Commercial real estate Commercial lease financing Small business commercial domestic Total commercial Total net charge-offs Managed credit card loss ratio

1999 0.04% 0.07%

2000 0.03% 0.10%

2001 0.03% 0.09%

2002 0.04% 0.11%

2003 0.03% 0.05%

2004 0.02% 0.04%

2005 0.02% 0.05%

2006 0.02% 0.07%

2007 0.02% 0.28%

5.08%

3.29%

4.04%

5.11%

5.37%

5.31%

6.76%

0.88% 1.22% 0.68% 0 51% 0.51% 0.49% 0.00%

0.78% 1.09% 0.54% 0 87% 0.87% 0.29% 0.05%

0.82% 3.70% 1.14% 1 46% 1.46% 0.78% 0.16%

0.69% 2.42% 0.91% 1 34% 1.34% 2.45% 0.18%

0.55% 2.89% 0.91% 0 68% 0.68% 2.36% 0.20% 1.23%

0.55% 2.51% 0.93% 0 15% 0.15% 1.05% -0.01% 0.05%

0.55% 3.99% 1.26% 0 13% 0.13% -0.39% 0.00% 1.13%

4.85% 2.46% 1.14% 2.97% 1.01% 0 22% 0.22% -0.04% 0.01% -0.14%

0.44% 0.55%

0.68% 0.61%

1.19% 1.16%

1.33% 1.10%

0.81% 0.87%

0.20% 0.66%

0.16% 0.85%

0.13% 0.70%

5.29% 3.06% 1.96% 6.18% 1.07% 0 08% 0.08% 0.00% 0.11% 0.01% 5.13% 0.40% 0.84%

2008 0.36% 2.59% 0.15% 6.57% 3.34% 3.77% 10.46% 2.21% 0 26% 0.26% 0.55% 1.41% 0.27% 9.80% 1.07% 1.79%

5.57%

4.66%

4.76%

5.28%

5.36%

5.63%

6.92%

3.90%

4.79%

6.18%

(1) Net charge-off/loss ratios are calculated as held net charge-offs or managed net losses divided by average outstanding held or managed loans and leases excluding loans measured at fair value in accordance with SFAS 159 during the period for each loan and lease category. (2) Excludes small business commercial - domestic loans. Loans are classified as domestic or foreign based upon the domicile of the borrower. Certain prior period amounts have been reclassified to conform to current period presentation.

31

Net Charge-offs and Provision Expense Q uarterly Net C harg e-offs/L osses and Net C harg e-off/L oss R atios

(1)

(Dollars in millions) Second Q uarter 2009 A mount P ercent

Held B asis

$1,085

Residential mortgage Home equity Discontinued real estate C redit card - domestic C redit card - foreign Direct/Indirect consumer O ther consumer T otal consumer C ommercial - domestic

(2)

C ommercial real estate C ommercial lease financing C ommercial - foreign

Small business commercial - domestic T otal commercial T otal net charg e-offs

F ourth Q uarter 2008 A mount P ercent

T hird Q uarter 2008 A mount P ercent

S econd Q uarter 2008 A mount P ercent

1.72 %

$785

1.20 %

$466

0.73 %

1,839

4.71

1,681

4.30

1,113

2.92

964

2.53

923

35

0.76

15

0.31

19

0.36

(3)

(0.05)

n/a

n/a

1,788

13.87

1,426

9.81

1,244

7.63

1,094

6.86

976

6.36 3.21

$242

0.37 %

$151

0.24 % 3.09

276

5.88

186

4.48

162

3.75

148

3.46

132

1,475

5.90

1,249

5.03

1,054

5.03

845

3.94

660

3.22

99

11.93

97

11.67

124

13.79

106

11.36

83

8.47

6,597

4.39

5,439

3.54

4,182

2.79

3,396

2.24

2,925

2.17

536

1.03

244

0.46

255

0.50

117

0.23

70

0.14

629

3.34

455

2.56

382

2.36

262

1.65

136

0.88

44

0.81

67

1.22

31

0.57

8

0.13

6

0.11

122

1.54

104

1.25

129

1.63

46

0.56

5

0.06

1,331

1.58

870

1.02

797

0.99

433

0.54

217

0.28 9.59

773

16.69

633

13.47

562

11.55

527

10.64

477

2,104

2.37

1,503

1.68

1,359

1.59

960

1.13

694

0.84

$8,701

3.64

$6,942

2.85

$5,541

2.36

$4,356

1.84

$3,619

1.67

$13,375

P rovision expense

F irst Q uarter 2009 A mount P ercent

$13,380

$8,535

$6,450

$5,830

B y B usiness Seg ment $88

D Deposits it G lobal C ard Services

(3)

3 26 % 3.26

3 42 % 3.42

$106

4 89 % 4.89

7,096

12.91

5,406

$88

9.60

4,623

7.88

4,185

$96

6.94

4 85 % 4.85

3,768

$78

6.34

4 33 % 4.33

3.71

1,598

4.88

1,492

4.77

976

3.18

844

2.75

841

G lobal Markets

29

1.00

5

0.17

15

0.87

16

0.36

-

-

G lobal Banking

1,477

1.83

1,122

1.37

992

1.19

588

0.73

318

0.41

Home Loans & Insurance

G lobal W ealth & Investment Management A ll O ther

(3)

T otal net charg e-offs

172

0.68

162

0.60

145

0.65

108

0.49

92

0.42

(1,759)

(4.43)

(1,333)

(3.21)

(1,316)

(3.60)

(1,481)

(4.03)

(1,478)

(5.06)

$8,701

3.64

$6,942

2.85

$5,541

2.36

$4,356

1.84

$3,619

1.67

$3,421

9.20 %

$2,929

7.66 %

$2,643

6.87 %

$2,414

6.36 %

Supplemental manag ed basis data $4,530

C redit card - domestic C redit card - foreign T otal credit card manag ed net losses

12.69 %

517

7.06

373

5.47

334

4.57

353

4.21

337

4.11

$5,047

11.73

$3,794

8.62

$3,263

7.16

$2,996

6.40

$2,751

5.96

(1) Net charge-off/loss ratios are calculated as annualized held net charge-offs or managed net losses divided by average outstanding held or managed loans and leases excluding loans measured at fair value in accordance with SF AS 159 during the period for each loan and lease category. (2) E xcludes small business commercial - domestic loans. (3) G lobal C ard Services is presented on a managed basis. T he securitization offset is included within All O ther. n/a = not applicable 2.85%

Loans are classified as domestic or foreign based upon the domicile of the borrower. 2.3% C ertain prior period amounts have been reclassified to conform to current period presentation. 1.84%

32

Pre-provision, Pre-tax Income vs. Provision Expense $ in Billions

$19.1

$16.1 $13.4

$13.4

$11.1 $

$10 9 $10.9 $9.4

$8.5

$8.2

$8.1

$7.8

$6.0

$5.8

$6.5 $5.0

$3.0 $3.3 $1.2

1Q07

$1.8

2Q07

$2.0

3Q07

4Q07

1Q08

2Q08

Pre-provision, pre-tax income, FTE basis

33

3Q08

4Q08

Provision expense

1Q09

2Q09

Allowance Allocation A llocation of the A llow ance for C redit L osses by P roduct T y pe

(1)

(Dollars in millions) J une 30, 2009

A llow ance for loan and lease losses

A mount $4,119

P ercent of T otal

J une 30, 2008 P ercent of L oans and L eases O utstanding (2)

A mount

P ercent of T otal

P ercent of Loans and Leases (2) O utstanding

12.19 %

1.67 %

$792

8,664

25.64

5.59

3,812

22.25

398

1.18

2.28

n/a

n/a

n/a

C redit card - domestic

5,153

15.25

10.53

3,210

18.74

5.17

C redit card - foreign

1,320

3.91

6.46

474

2.77

2.86

Direct/Indirect consumer

5,369

15.89

5.41

2,964

17.30

3.49

R esidential mortgage Home equity Discontinued real estate

O ther consumer

4.62 %

0.34 % 3.14

210

0.63

6.22

185

1.09

4.81

25,233

74.69

4.27

11,437

66.77

2.18

5,486

16.24

2.52

3,844

22.44

1.74

2 396 2,396

7 09 7.09

3 19 3.19

1 333 1,333

7 78 7.78

2 12 2.12

C ommercial lease financing

255

0.75

1.14

199

1.16

0.87

C ommercial - foreign

415

1.23

1.39

317

1.85

0.91

8,552

25.31

2.48

5,693

33.23

3.61

17,130

T otal consumer C ommercial - domestic

(3)

C ommercial real estate

T otal commercial

(4)

A llow ance for loan and lease losses R eserve for unfunded lending commitments

33,785 (5)

A llow ance for credit losses

100.00 %

1,992

507

$35,777

$17,637

100.00 %

(1) T he C orporation accounts for acquired impaired loans in accordance with SO P 03-3. (2) Ratios are calculated as allowance for loan and lease losses as a percentage of loans and leases outstanding excluding loans measured in accordance with SF AS 159 for each loan and lease category. Loans measured at fair value include commercial - domestic loans of $4.4 billion, $4.8 billion and $3.5 billion, commercial - foreign loans of $2.5 billion, $2.5 billion and $1.3 billion, and commercial real estate loans of $123 million, $89 million and $176 million at J une 30, 2009, March 31, 2009 and J une 30, 2008. (3) Includes allowance for small business commercial - domestic loans of $2.8 billion, $3.1 billion and $2.1 billion at J une 30, 2009, March 31, 2009 and J une 30, 2008. (4) Includes allowance for loan and lease losses for impaired commercial loans of $1.6 billion, $1.1 billion and $417 million at J une 30, 2009, March 31, 2009 and J une 30, 2008. (5) Amounts for the periods beginning J anuary 1, 2009 include the Merrill Lynch acquisition. T he majority of the increase from J une 30, 2008 relates to the fair value of the acquired Merrill Lynch unfunded lending commitments, excluding commitments accounted for under SF A S 159. n/a = not applicable C ertain prior period amounts have been reclassified to conform to current period presentation.

34

1.67 1.98

Performance by Geographical Area Since the C orporation’s operations are highly integrated, certain income, expense, asset and liability amounts must be allocated to arrive at total revenue, p , income before income taxes,, net income and total assets byy ggeographic g p area. T he C orporation p identifies its ggeographic g p p performance net of interest expense, based upon the business unit structure used to manage the capital or expense deployed in the region as applicable. T his requires certain judgments related to the allocation of revenue so that revenue can be appropriately matched with the related expense or capital deployed in the region.         

Six Months E nded J une 30 T otal R evenue, Net of Interest

Income (L oss) B efore Income

Net Income

(1)

(L oss) $1,663  4 135 4,135 

Y ear 2009     2008    

E x pense $54,050 34 726 34,726

T ax es $(1,372) 5 954 5,954

2009     2008     

9,476 748

8,155 430

5,138  272 

E urope, Middle E ast and A frica

2009      2008     

4,281 1,622

625 18

450 15

Latin A merica and the C aribbean

2009      2008    

725 385

347 317

220  198  198

T otal F oreign

2009      2008     

14,482 2,755

9,127 765

5,808  485 

T otal C onsolidated

2009      2008     

$68,532 37,481

$7,755 6,719

$7,471  4,620 

(Dollars in millions) Domestic

A sia

((1)) (2)

(3)

(2)

(3)

T here were no material intercompany revenues between geographic regions for any of the periods presented. presented Includes the C orporation’s C anadian operations which had total revenue, net of interest expense of $682 million; income before income taxes of $195 million; and net income of $$156 million for six months ended J une 30, 2009. Includes the C orporation’s C anadian operations which had total revenue, net of interest expense of $567 million; income before income taxes of $254 million; and net income of $189 million for six months ended J une 30, 2008. Six months ended J une 30, 2009, includes pre-tax gains $7.3 billion ($4.7 billion net-of-tax) on the sale of common shares of the C orporation’s initial investment in C C B.

T otal A ssets

     (Dollars in millions) Domestic

(2)

   

J une 30, 2009 $1,990,853

(1)

December 31, 2009 $1,678,853

A sia

    

79,220

50,567

E urope, Middle E ast and A frica

    

167,236

78,790

Latin A merica and the C aribbean

    

17,085

9,733

T otal F oreign

    

263,541

139,090

T otal C onsolidated

    

$2,254,394

$1,817,943

(1) (2)

T otal assets include long-lived assets, which are primarily located in the U .S. Includes the C orporation’s C anadian operations which had total assets of $22.0 billion and $13.5 billion at J une 30, 2009 and December 31, 2008.

35

Capital Levels 11.9%

$ in Billions

10.1% $255.2

9.2% 8.6%

$239.5

8.5%

8.3%

8.2%

7.6% 7 6%

7.5% 7 5% 6.9%

$190.9 $177.1

$146.8

$138.5

$135.8

$134.9

$162.7

$156.3

$171.1

$161.0

$120.8 $91.1

1Q07

$95 0 $95.0

$ $94.1

$101.4

$ $93.9

$100.2 $ 00

$83.4

2Q07

3Q07

4Q07

Tier 1 capital

$ in Millions (except per share information) Common shareholders' equity Total shareholders' equity Tier 1 common (1) Tier 1 capital Total capital Goodwill, intangibles, & related deferred tax liabilities (2) Tangible common shareholders' equity (3) Tangible shareholders' equity (3) Risk-weighted assets Tangible assets (3) Total assets Common shares issued and outstanding Total equity/Total assets Tier 1 common equity ratio (1) Tier 1 capital ratio Total capital ratio Tangible common equity ratio (3) Tang. common equity/Risk-weighted assets (3) Tangible equity ratio (3) Book value per share Tangible book value per share (3)

1Q08

2Q08

3Q08

Total shareholders' equity

4Q08

1Q09

2Q09

Tier 1 capital ratio

2007 2008 2009 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q $ 132,005 $ 132,900 $ 135,109 $ 142,394 $ 139,003 $ 138,540 $ 136,888 $ 139,351 $ 166,272 $ 196,492 134,856 135,751 138,510 146,803 156,309 162,691 161,039 177,052 239,549 255,152 n/a n/a n/a n/a n/a 58,853 56,139 63,339 76,145 110,383 91,112 94,979 94,108 83,372 93,899 101,439 100,248 120,814 171,061 190,874 126,958 135,059 135,786 133,720 146,531 154,983 153,318 171,661 237,905 255,701 74,913 74,565 77,068 87,826 86,006 85,684 89,009 88,615 96,655 95,648 57,092 58,335 58,041 54,568 52,997 52,856 47,879 50,736 69,617 100,844 59,943 61,186 61,442 58,977 70,303 77,007 72,030 88,437 142,894 159,504 1,062,883 1,115,150 1,145,069 1,212,905 1,250,942 1,230,307 1,328,084 1,320,824 1,695,192 1,599,569 1,427,244 1,459,794 1,501,695 1,627,920 1,650,496 1,631,191 1,742,168 1,729,328 2,225,308 2,158,746 1,502,157 1,534,359 1,578,763 1,715,746 1,736,502 1,716,875 1,831,177 1,817,943 2,321,963 2,254,394 4,439 4,437 4,437 4,438 4,453 4,453 4,562 5,017 6,401 8,651 9.0% n/a 8.6% 11.9% 4.0% 5.4% 4.2% $29.74 12.86

8.8% n/a 8.5% 12.1% 4.0% 5.2% 4.2% $29.95 13.15

8.8% n/a 8.2% 11.9% 3.9% 5.1% 4.1% $30.45 13.08

8.6% n/a 6.9% 11.0% 3.4% 4.5% 3.6% $32.09 12.30

9.0% n/a 7.5% 11.7% 3.2% 4.2% 4.3% $31.22 11.90

$

9.5% 4.8% 8.3% 12.6% 3.2% 4.3% 4.7%

8.8% 4.2% 7.6% 11.5% 2.8% 3.6% 4.1%

9.7% 4.8% 9.2% 13.0% 2.9% 3.8% 5.1%

10.3% 4.5% 10.1% 14.0% 3.1% 4.1% 6.4%

11.3% 6.9% 11.9% 16.0% 4.7% 6.3% 7.4%

31.11 $ 11.87

30.01 $ 10.50

27.77 $ 10.11

25.98 $ 10.88

22.71 11.66

(1) Tier 1 common is not available prior to 2Q08 (2) Does not include related deferred tax liabilities prior to 1Q08 (3) Tangible measures adjust for the impact of goodwill, intangibles, and related deferred tax liabilities. Prior to 1Q08, tangible measures adjusted for the impact of goodwill and intangibles. n/a = not applicable

36

Efficiency Ratio

57% 56%

56% 55% 52%

53%

50% target

51% 49%

49%

48%

2000

2001

2002

2003

2004

2005

2006

Efficiency ratio = noninterest expense/(net interest income + noninterest income)

Fully taxable-equivalent basis

37

2007

2008

YTD 2009

Debt Ratings • Bank B k off A America i common stock t k iis lilisted t d on Th The N New Y York k St Stock kE Exchange, h IInc. and d Th The P Pacific ifi St Stock k Exchange Incorporated under the symbol “BAC”. The common stock is also listed on the London Stock Exchange, and certain shares of common stock are listed on the Tokyo Stock Exchange. The stock is typically listed in the Wall Street Journal as BankAm. • Bank of America and certain of its banking subsidiaries also have debt securities issued in the marketplace. The Corporation and its primary bank’s debt ratings are:

Credit Rating Summary Updated as of August 17, 2009

Bank of America Corporation (1) Outlook Issuer Long-Term (Senior) L Long-Term T (S (Subordinated) b di d) Short-Term (CP) Preferred Stock Trust Preferred

Bank of America, N.A. Outlook Long-Term Short-Term (1) (2)

Fitch

Moody's

Standard & Poor's

Stable

Stable

Stable

--

A2

A

A+

A2

A

A

A3

A-

F1+

P-1

A-1

B

B3 (Review for Upgrade)

B

BB-

Baa3

B

Fitch

Moody's

Standard & Poor's

Stable

Stable

Stable

A+

Aa3

A+

F1+

P-1

A-1

(2)

Includes Merrill Lynch & Co. Includes FIA Card Services, N.A. and Merrill Lynch Bank & Trust Co., FSB

38

Preferred Stock Information PREF ERRED STOC K Series

C USIP

BML Series 6 - Fixed

(9)

BML Series 2 - Floating

(9)

BML Series 1 - Floating

(9)

BML Series 7 - Fixed

(9)

BML Series 4 - Floating BML Series 3 - Fixed

(9)

(9)

BAC Series D - Fixed BAC Series E - Fixed-to-Floating

(2)

Tick e r

( 12)

Issue Da te

N o tio nal $ in M illio ns

F ix ed 6.700

Ra te F lo ating

060505575

BML PrN

09/21/2007

$65

060505625

BML PrH

03/14/2005

$526

3ML + 65bps

(4)

060505633

BML PrG

11/01/2004

$146

3ML + 75bps

(4)

060505567

BML PrO

09/21/2007

$17

060505591

BML PrJ

11/17/2005

$389

060505617

BML PrI

11/17/2005 / /

$670

6.250 3ML + 75bps

(5)

6.375

060505831

BAC PrD

09/14/2006

$661

6.204

060505815

BAC PrE

11/06/2006

$487

4.000

3ML + 35bps

C um ula tive / Non

F irst C a ll Da te

Rate Pa id 6.700

Non Cumulative

02/03/2009

3.000

Non Cumulative

11/28/2009

3.000

Non Cumulative

11/28/2009

6.250

Non Cumulative

03/18/2010

4.000

Non Cumulative

11/28/2010

6.375

Non Cumulative

11/28/2010 / /

6.204

Non Cumulative

09/14/2011

4.000

Non Cumulative

11/15/2011 11/15/2011

BAC S eri es N - Fi xed

(7 ) & (8 )

10/28/2008

$15,000

5.000

(6 )

5.000

Cu m u l at i ve

BAC S eri es Q - Fi xed

(7 ) & (8 )

01/09/2009

$10,000

5.000

(6 )

5.000

Cu m u l at i ve

(7 ) & (8 )

01/16/2009

$20,000

8.000

Cu m u l at i ve

4.000 7.250

Non Cumulative Non Cumulative

BAC S eri es R - Fi xed BML Series 5 - Floating BAC Series J - Fixed

(9)

BAC Series H - Fixed BML Series 8 - Fixed

(9)

BAC Series I - Fixed

8.000 3ML + 50bps

(5)

02/15/2012 2/15/2012

(1 1 )

060505583 060505724

BML PrL BAC PrJ

03/20/2007 11/20/2007

$606 $978

05/21/2012 11/1/2012

7.250

060505765

BAC PrH

05/23/2008

$2,862

8.200

8.200

Non Cumulative

05/01/2013

060505559

BML PrQ

04/22/2008

$2,673

8.625

8.625

Non Cumulative

05/28/2013

060505740

BAC PrI

10/01/2017

09/26/2007

$365

6.625

6.625

Non Cumulative

BAC Series K - Fixed-to-Floating Fixed to Floating

(3)

060505DR2

01/30/2008

$1 668 $1,668

8 000 8.000

3ML + 363bps

8 000 8.000

Non Cumulative

01/30/2018

BAC Series M - Fixed-to-Floating

(3)

060505DT8

04/30/2008

$1,434

8.125

3ML + 364bps

8.125

Non Cumulative

05/15/2018

01/29/2008

$3,349

7.250

7.250

Non Cumulative

Non-Callable

06/01/1988

$1

7.000

7.000

Cumulative

Non-Callable

BAC Series L - Fixed

(10)

060505682

BAC PrL

BAC Series B T ot al

$61,896

(1)

BAC Preferred is redeemable, in whole or in part, on any dividend payment date on or after the call date, at par. MER legacy Preferred (Series 1 - 8) is redeemable in whole at any time or in part from time to time at par

(2)

The rate is the greater of the fixed or floating rate

(3)

Fixed up to the call date, floating afterwards

(4)

Subject to 3.00% 3 00% minimum dividend rate

(5)

Subject to 4.00% minimum dividend rate

(6)

The rate increases to 9% per annum commencing on or after the fifth anniversary of the Original Issue Date

(7)

Prior to the call date, BAC may redeem, in whole or in part, the Series N & Q Preferred Stock if BAC receives aggregate gross proceeds of $3.75B (in the case of Series N) and $2.5B (in the case of Series Q) from one or more “Qualified Equity Offerings” (QEOs). The redemption is limited to the proceeds received from the QEOs

(8)

Neither BAC nor its subsidiaries may redeem, purchase or acquire any shares of common stock, other capital stock (including series of preferred stock other than Series N & Q Preferred Stock), or other equity securities of BAC or trust preferred securities of BAC or its Affiliates without the consent of the United States Department of the Treasury until the third anniversary of the Original Issue Date (10/28/2011 for Series N and 01/09/2012 for Series Q) or the total redemption/transfer of the Series N and/or Q

(9)

BML Series 1 through 8 were issued on 01/02/2009 to replace MER series 1 through 8 Preferred Stock

(10)

BAC Series L may be converted into common stock at any time at the option of the holder; or at our option, in whole or in part, on or after 01/30/2013, if the closing price of BAC common stock exceeds the trigger price for 20 trading days during any period of 30 consecutive trading days

(11)

BAC Series R may not be redeemed prior to the date on which all outstanding shares of UST Preferred Stock (BAC Series N & Q) have been redeemed, repurchased or otherwise acquired by the Corporation

(12)

Preferred stock ticker symbols as listed on the NYSE

NO TE: Merrill Lynch MC Series 2 & 3 Mandatory Convertible Non-Cumulative Preferred Stock are not included in the chart above, as they are settled contractually in common stock, not cash, on 10/15/2010 Series N, Q, & R, are part of the TARP Capital Purchase Program (CPP)

39

( 1)

Trust Preferred and Hybrid Securities Information The following table is a summary of the outstanding Trust and Hybrid Securities and the related Notes at December 31, 2008 as originated by Bank of America Corporation and its predecessor companies. Aggregate (Dollars in millions) Issuer Bank of America

Aggregate

Principal Amount Issuance Date

of Trust Securities

  

Principal Amount  

Stated Maturity

Per Annum Interest

Interest Payment  

Redemption

of the Notes   

of the Notes

Rate of the Notes

Dates   

Period

  

  

Capital Trust I

December 2001

$575

$593   

December 2031

3/15,6/15,9/15,12/15   

On or after 12/15/06

Capital Trust II

January 2002

900

928   

February 2032

7.00

2/1,5/1,8/1,11/1   

On or after 2/01/07

Capital Trust III

August 2002

500

516   

August 2032

7.00

2/15,5/15,8/15,11/15   

On or after 8/15/07

Capital Trust IV

April 2003

375

387   

May 2033

5.88

2/1,5/1,8/1,11/1   

On or after 5/01/08

Capital Trust V

November 2004

518

534   

November 2034

6.00

2/3,5/3,8/3,11/3   

On or after 11/03/09

7.00 %

Capital Trust VI

March 2005

1,000

1,031   

March 2035

5.63

3/8,9/8   

Any time

Capital Trust VII

August 2005

1,221

1,259   

August 2035

5.25

2/10,8/10   

Any time

Capital Trust VIII

August 2005

530

546   

August 2035

6.00

2/25,5/25,8/25,11/25   

On or after 8/25/10

C it l TTrustt X Capital

March 2006

900

928  

March 2055

6.25

3/29,6/29,9/29,12/29  

On or after 3/29/11

Capital Trust XI

May 2006

1,000

1,031   

May 2036

6.63

5/23,11/23   

Any time

Capital Trust XII

August 2006

863

890   

August 2055

6.88

2/2,5/2,8/2,11/2   

On or after 8/02/11

Capital Trust XIII

February 2007

700

700   

March 2043

3-mo. LIBOR +40 bps

3/15,6/15,9/15,12/15   

On or after 3/15/17

Capital Trust XIV

February 2007

850

850   

March 2043

5.63

3/15,9/15   

On or after 3/15/17

Capital Trust XV

May 2007

500

500   

June 2056

3-mo. LIBOR +80 bps

3/1,6/1,9/1,12/1   

On or after 6/01/37

NationsBank

  

  

Capital Trust II

December 1996

365

376   

December 2026

7.83

6/15,12/15   

On or after 12/15/06

Capital Trust III

February 1997

500

515   

January 2027

3-mo. LIBOR +55 bps

1/15,4/15,7/15,10/15   

On or after 1/15/07

Capital Trust IV

April 1997

500

515   

April 2027

8.25

4/15,10/15   

On or after 4/15/07

BankAmerica

  

  

Institutional Capital A

N November b 1996

450

464  

D December b 2026

8 07 8.07

6/30 12/31   6/30,12/31

O or after On f 12/31/06

Institutional Capital B

November 1996

300

309   

December 2026

7.70

6/30,12/31   

On or after 12/31/06

Capital II

December 1996

450

464   

December 2026

8.00

6/15,12/15   

On or after 12/15/06

Capital III

January 1997

400

412   

January 2027

3-mo. LIBOR +57 bps

1/15,4/15,7/15,10/15   

On or after 1/15/02

Barnett Capital III

   January 1997

250

Fleet

  

258   

February 2027

3-mo. LIBOR +62.5 bps

  

2/1,5/1,8/1,11/1   

On or after 2/01/07

  

Capital Trust II

December 1996

250

258   

December 2026

7.92

6/15,12/15   

On or after 12/15/06

Capital Trust V

December 1998

250

258   

December 2028

3-mo. LIBOR +100 bps

3/18,6/18,9/18,12/18   

On or after 12/18/03

March 2002

534

550   

March 2032

7.20

3/15,6/15,9/15,12/15   

On or after 3/08/07

July 2003

175

180   

August 2033

6.00

2/1,5/1,8/1,11/1   

On or after 7/31/08

Capital Trust VIII Capital Trust IX BankBoston

 

 

Capital Trust III

June 1997

250

258   

June 2027

3-mo. LIBOR +75 bps

3/15,6/15,9/15,12/15   

On or after 6/15/07

Capital Trust IV

June 1998

250

258   

June 2028

3-mo. LIBOR +60 bps

3/8,6/8,9/8,12/8   

On or after 6/08/03

Progress

  

  

Capital Trust I

June 1997

9

9   

June 2027

10.50

6/1,12/1   

On or after 6/01/07

Capital Trust II

July 2000

6

6   

July 2030

11.45

1/19,7/19   

On or after 7/19/10

Capital Trust III

November 2002

10

10   

November 2032

3-mo. LIBOR +335 bps

2/15,5/15,8/15,11/15   

On or after 11/15/07

Capital Trust IV

December 2002

5

5   

January 2033

3-mo. LIBOR +335 bps

1/7,4/7,7/7,10/7   

On or after 1/07/08

MBNA

  

  

Capital Trust A

December 1996

250

258   

December 2026

8.28

6/1,12/1   

Capital Trust B

January 1997

280

289   

February 2027

3-mo. LIBOR +80 bps

2/1,5/1,8/1,11/1   

On or after 2/01/07

Capital Trust D

June 2002

300

309  

October 2032

8 13 8.13

1/1 4/1 7/1 10/1   1/1,4/1,7/1,10/1

On or after 10/01/07

Capital Trust E

November 2002

200

206   

February 2033

8.10

2/15,5/15,8/15,11/15   

On or after 2/15/08

ABN Amro North America

  

On or after 12/01/06

  

Series I

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

2/15,5/15,8/15,11/15   

Series II

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

3/15,6/15,9/15,12/15   

On or after 9/15/06

Series III

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

1/15,4/15,7/15,10/15   

On or after 10/15/06

Series IV

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

2/28,5/30,8/30,11/30   

On or after 8/30/06

Series V

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

3/30,6/30,9/30,12/30   

On or after 9/30/06

Series VI

May 2001

77

77   

Perpetual

3-mo. LIBOR +175 bps

1/30,4/30,7/30,10/30   

On or after 10/30/06

Series VII

May 2001

88

88   

Perpetual

3-mo. LIBOR +175 bps

3/15,6/15,9/15,12/15   

On or after 9/15/06

Series IX

June 2001

70

70   

Perpetual

3-mo. LIBOR +175 bps

3/5,6/5,9/5,12/5   

On or after 9/05/06

Series X

June 2001

53

53  

Perpetual

3 mo LIBOR +175 bps 3-mo.

3/12 6/12 9/12 12/12   3/12,6/12,9/12,12/12

On or after 9/12/06

Series XI

June 2001

27

27   

Perpetual

3-mo. LIBOR +175 bps

3/26,6/26,9/26,12/26   

On or after 9/26/06

Series XII

June 2001

80

80   

Perpetual

3-mo. LIBOR +175 bps

1/10,4/10,7/10,10/10   

On or after 9/12/06

Series XIII

June 2001

70

70   

Perpetual

3-mo. LIBOR +175 bps

1/24,4/24,7/24,10/24   

On or after 10/24/06

August 2000

491

491   

Perpetual

6.97% through 9/15/2010;

3/15,6/15,9/15,12/15   

On or after 9/15/10

3/15,6/15,9/15,12/15   

On or after 9/15/10

LaSalle Series I

  

On or after 8/15/06

   3-mo. LIBOR +105.5 bps thereafter

Series J

September 2000

95

95   

Perpetual

3-mo. LIBOR +5.5 bps through 9/15/2010; 3-mo. LIBOR +105.5 bps thereafter

Countrywide

  

  

Countrywide Capital III

June 1997

200

206   

June 2027

8.05

6/15,12/15   

Only under special event

Countrywide Capital IV

April 2003

500

515   

April 2033

6.75

1/1,4/1,7/1,10/1   

On or after 4/11/08

Countrywide Capital V

November 2006

1,495

1,496   

November 2036

7.00

2/1,5/1,8/1,11/1   

On or after 4/11/08

$20,047

$20,513   

Total

  

40

Bank of America Business Segments

Current Environment 2009 Economic Environment and Current Business Environment During the first six months of 2009, credit quality deteriorated further as the global economy continued to weaken. Consumers experienced high levels of stress from higher unemployment and underemployment as well as further declines in home prices. Consumer net charge-offs in our consumer real estate portfolios increased, reflecting deterioration in the economy and housing markets, particularly in geographic areas that have experienced the most significant declines in home prices. The weak economy also drove higher losses in the consumer credit card portfolio. These factors combined with further reductions in spending by consumers and businesses also negatively impacted the commercial portfolio. Higher commercial net charge-offs were driven by commercial real estate, reflecting deterioration across various property types, and the commercial domestic portfolio, reflecting broad-based deterioration in terms of borrowers and industries. In addition to increased net charge-offs, nonperforming assets and commercial criticized utilized exposure were higher and reserves were increased across most portfolios during the six months ended June 30, 2009. Capital market conditions showed some signs of improvement during the first six months of 2009 and Global Markets took advantage of the favorable trading environment. environment However, However during the second quarter of 2009 we were adversely impacted by credit valuation adjustments on derivative liabilities as the Corporation’s credit spreads tightened. Market dislocations that occurred throughout 2008 continued to impact our results in the first six months of 2009 but to a lesser extent as we incurred reduced market disruption charges on legacy Bank of America positions compared to the same period in the prior year. We have also reduced certain asset levels in Global Markets for balance sheet efficiencies. In addition, GWIM was affected by the market downturn, which adversely impacted our assets under management (AUM), related fees and lower brokerage commissions. The above conditions, together with continued weakness in the overall economy, will continue to affect many of the markets in which we do business and may adversely impact our results for the remainder of 2009. The degree of the impact is dependent upon the duration and severity of such conditions.

42

Deposits Bank B k off A America’s i ’ D Deposits it segmentt iincludes l d th the results lt off consumer deposits d it activities, ti iti which hi h iinclude l d a comprehensive range of products for consumers and small business. In addition, Deposits includes student lending results and the net effect of our Asset Liability Management (ALM) activities. Despite recent challenges, Deposits continues to be a key driver of revenue and earnings for Bank of America. We lead the industry in retail deposits and market share. As macroeconomic factors, industry consolidation and changes in consumer behavior continue to influence the environment in which we operate we are accelerating work that was already underway – leveraging our strong foundation of operate, deposits, distribution and innovation – to focus on profitable growth. Features: • In the U.S., we serve approximately 53 million consumer and small business relationships(1) in 32 states and the District of Columbia. Eighty-two percent of the U.S. population lives and works in our footprint, and we have leadership positions in 23 of top 30 U.S. metro markets. • Our customers enjoy unrivaled convenience, including our 6,109 banking centers, 18,426 domestic branded ATMs, nationwide call centers, and leading online and mobile capabilities. • Deposits provide one of the primary entry points for new customers of Bank of America, and deposit balances provide a relatively stable source of funding and liquidity. Deposit products to consumers and small businesses include: – Regular and interest-checking accounts – Traditional savings accounts – Money market savings accounts – CDs and IRAs • Bank of America earns net interest revenues from investingg this liquidity q y in earningg assets through g clientfacing lending activity and ALM activities. The revenue is allocated to the deposits products using our funds transfer pricing process, which takes into account the interest rates and maturity characteristics of the deposits. • Deposits also generate fees such as account service fees, non-sufficient fund fees, overdraft charges and ATM fees. g Q Q2 2009 deposit p balances for the Deposits p segment g is $417.1 billion. Total • Total amount of average amount of average Q2 2009 retail deposits including Countrywide and Merrill Lynch is $665.7 billion.

(1)

Excluding Countrywide and Merrill Lynch

43

Deposits A hi Achievements: t • #1 online bank with 29 million active users • #1 mobile bank with 2.7 million active users • 16 million active online bill pay users. The number of customers who sign up and use Bank of America’s Bill Pay service continues to surpass that of any other financial institution. • The introduction of Deposit Image ATMs, which provide an enhanced customer experience by printing an image of the deposited items on the receipt and requiring no deposit envelope • Keep the Change™, Bank of America’s signature savings tool, has provided customers with more than $2 billion in savings since its launch in 2006. Key Data: • 2009 June YTD net interest income of $3.7 billion is down 28.8 percent compared to prior year as a result of spread compression due to declining interest rates and a lower residual net interest income allocation related to our ALM activities. • Q2 2009 average retail deposit balances grew $4.2 billion or 0.6 percent, compared to Q1 2009. Excluding the expected runoff of high yielding Countrywide balances, average retail deposits improved $10.5 billion or 1.7 percent versus the prior quarter. Legacy Bank of America average retail deposits grew 6.0 percent compared to Q2 2008. 2008

YTD Revenue

Retail Deposits (1)

($ in Billions)

($ in Billions)

$8 5 $8.5

$ $576.1

$661.5

$665.7

$587 8 $587.8

$81 0 $81.0

$84.5

$31.6

$26.1

$19.7

$529.4

$38.7

$529.4

$537.4

$556.2

$554.5

$561.4

2Q08

3Q08

4Q08

1Q09

2Q09

$6.9 $3.4

$3.2

$5.1 $3.7

June 2008 YTD Net interest income (1)

June 2009 YTD

Legacy BAC

Noninterest income

Retail deposits include GWIM deposits, certain deposits from Global Banking and All Other

44

Legacy CFC

Legacy MER

Deposits Key Data (continued): • Average Q2 2009 deposits for Deposits grew $79.9 billion, or 24 percent, from a year earlier due to organic growth in checking and savings products, migration of certain households’ deposits from GWIM and the Countrywide acquisition. • We added approximately 394,000 net new retail checking accounts during the six months ended June 30, 2009,, a decrease of approximately pp y 837,000 , from the same p period in 2008. The reduction was attributable to lower sales activity and higher closure volume resulting from the current economic environment and risk mitigation activities.

Deposits Segment Q2 2009 Average Deposit Balances Foreign and Other 1%

Checking 33%

CDs & IRAs 37%

Traditional Savings 8% Money Market Savings 22%

45

Deposits Financials - Segment Results (1) Three months ended June 30, 2009 compared to three months ended June 30, 2008: Net income decreased $733 million, or 59 percent, to $505 million driven by lower net revenue and higher noninterest expense. Net interest income decreased $877 million, or 33 percent, to $1.7 billion as a result of a lower residual net interest income allocation from ALM activities and spread compression due to declining interest rates. Average deposits grew $79.9 billion, or 24 percent, due to organic growth in checking and savings accounts, migration of certain households’ deposits from GWIM and the Countrywide acquisition. Noninterest income remained relatively flat at $1.7 billion as service charges remained unchanged. The positive impacts of account growth and revenue initiatives were offset by changes in consumer spending behavior attributable to current economic conditions. Noninterest expense increased $325 million, or 14 percent, to $2.6 billion primarily due to increased FDIC expense, including a special assessment. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Net iincome d N decreased d $1.3 $1 3 billion, billi or 53 percent, d driven i b by llower net revenue and d hi higher h noninterest i expense. N Net iinterest iincome decreased d d $1.5 $1 5 billion, or 29 percent, while average deposits grew $59.1 billion, or 17 percent. Noninterest income decreased $104 million, or three percent, and noninterest expense was higher by $492 million, or 11 percent. These period-over-period changes were driven by the same factors as described in the three-month discussion above.

(Dollars in millions) Six Months Ended June 30 2009 2008 Net interest income (2) Noninterest income: Service charges All other income (loss) Total noninterest income Total revenue, net of interest expense Provision for credit losses Noninterest expense Income before income taxes Income tax expense (2) Net income

$3,659

Second Quarter 2009

$5,136

First Quarter 2009

$1,748

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

$1,911

$2,984

$2,905

$2,625

3,252 (4) 3,248 6,907

3,306 46 3,352 8,488

1,749 (2) 1,747 3,495

1,503 (2) 1,501 3,412

1,676 11 1,687 4,671

1,821 11 1,832 4,737

1,742 33 1,775 4,400

187 5,008 1,712

195 4,516 3,777

96 2,649 750

91 2,359 962

107 2,238 2,326

98 2,119 2,520

89 2,324 1,987

606 $1,106

1,414 $2,363

245 $505

361 $601

735 $1,591

950 $1,570

749 $1,238

Net interest yield (2)

1.86

g equity q y Return on average

9.47

19.31

8.58

10.39

25.85

25.92

20.30

72.50

53.21

75.80

69.12

47.92

44.74

52.82

$331,886

Efficiency ratio (2)

%

3.10 %

1.69

%

2.06 %

3.23 %

3.13 %

3.18 %

Balance sheet Average Total earning assets (3)

$396,248

$333,671

$415,798

$376,481

$367,631

$369,121

Total assets (3)

422,756

365,798

442,419

402,874

394,426

394,718

364,444

Total deposits

397,454

338,358

417,114

377,575

378,951

379,071

337,253

23 530 23,530

24 600 24,600

23 576 23,576

23 484 23,484

24 493 24,493

24 088 24,088

24 520 24,520

$334,671

Allocated equity Period end Total earning assets (3)

$421,996

$334,671

$421,996

$390,782

$364,557

$371,772

Total assets (3)

448,200

363,326

448,200

417,123

391,698

398,938

363,326

Total deposits

423,192

336,136

423,192

391,604

376,974

383,078

336,136

(1) Deposits includes the net impact of migrating customers and their related deposit balances between Global Wealth & Investment Management (GWIM) and Deposits. After migration, the associated net interest income, service charges and noninterest expense are recorded in the appropriate segment. (2) Fully taxable-equivalent basis (3) Total earning assets and total assets include asset allocations to match liabilities (i (i.e., e deposits) deposits). Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

46

Deposits Financials - Key Indicators

(Dollars in millions, except as noted)

Six Months Ended June 30 2009 2008 Average deposit balances Checking Savings MMS CDs and IRAs Foreign and other Total average deposit balances

$130,996 31,034 85,025 146,777 3,622 $397,454

$127,047 29,460 68,066 110,953 2,832 $338,358

Total balances migrated to (from) GWIM

$(40,480)

$12,662

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

$135,837 32,488 91,537 153,358 3,894 $417,114

$126,101 29,564 78,441 140,123 3,346 $377,575

$124,625 28,687 80,677 141,895 3,067 $378,951

$125,844 29,392 80,364 139,628 3,843 $379,071

$128,240 30,092 69,772 106,153 2,996 $337,253

$(6,140)

$4,542

$3,272

$5,631

$(34,340)

Deposit spreads (excludes noninterest costs) Checking Savings MMS CDs and IRAs Foreign and other Total deposit spreads

4.12 % 3.88 0.23 0.07 3.44 1.75

Net new retail checking (units in thousands)

394

1,231

176

29,196 16,000

25,299 13,269

29,196 16,000

Online banking (end of period) Active accounts (units in thousands) Active billpay accounts (units in thousands)

4.21 % 3.79 1.42 0.47 3.56 2.36

4.07 % 3.87 0.55 0.05 3.36 1.78

4.18 % 3.89 (0.14) 0.09 3.54 1.71

4.25 % 3.82 0.91 0.26 3.76 1.99

4.23 % 3.80 1.15 0.14 3.72 2.01

4.15 % 3.70 1.30 0.40 3.62 2.31

218

130

823

674

29,515 16,031

28,854 15,861

28,636 15,732

25,299 13,269

Bank of America has the largest active online banking customer base with 29.2 million subscribers. Bank of America uses a strict Active User standard - customers must have used our online services within the last 90 days. 16.0 16 0 million active bill pay users paid $79.6 $ 9 6 billion worth off bills this quarter. The number off customers who sign up and use Bank off America's Bill Pay S Service continues to surpass that off any other financial institution. Currently, approximately 330 companies are presenting 39.1 million e-bills per quarter.

Certain prior period amounts have been reclassified to conform to the current period presentation.

47

Global Card Services Global Card Services p provides a broad offeringg of credit and debit cards and unsecured lines of credit to consumers and small businesses. Our products include a variety of unique credit card reward programs as well as credit and debit co-branded and affinity card products. Core Businesses: ‐ Consumer Card ‐ Small Business Lending ‐ Consumer Lending ‐ International Loan Products ‐ Debit Card Features: • Bank of America is the recognized leader in affinity marketing and is the number one affinity issuer with approximately 4,700 affinity partners worldwide, including the AAA, Alaska Airlines, National Education Association, Upromise, National Football League, and Major League Baseball. • Bank of America has the number two market share position in credit card products in the U.S. and is the number one credit card lender in Europe. International credit card operations are in the United Kingdom, Ireland, Spain and Canada. • In the first half of 2009, Global Card Services generated managed revenues of $14.8 billion, which accounted for 22 percent of total Bank of America. Recent Achievements: • Several new affinity partnerships were signed during the first half of 2009. Significant signings included The Human Rights Campaign and The World Wildlife Fund (WWF) U.S. • Affinity renewals completed through June included Alaska and Hawaiian Airlines. • Bank of America launched its Add It Up Up™ program, program which is a secure Web site that allows enrolled customers to earn up to 20 percent cash back on their purchases at more than 270 online retailers, including top names such as Walmart.com, BestBuy.com and Barnes & Noble.com. • Bank of America continues to be the largest credit card lender in Europe with a 9.4 percent market share. • In the first six months of 2009, signed new card affinity deals with Amazon.co.uk and Play.com, two of the largest online retailers in Europe, giving access to over 15 million customers. • Europe Card Services has renewed affinity relationships with 123 affinity partners including Halfords and a number of leading soccer teams (Blackburn Rovers, Middlesborough and Newcastle United). • Canada Card Services introduced the new Shoppers Optimum MasterCard credit card program in March. Shoppers Drug Mart is the number one provider of pharmacy products and services in Canada with over 1,149 stores. Shoppers also owns Shoppers Home Health Care® stores, making it the largest Canadian retailer of home health care products and services. • Additional affinity signings for Canada Card Services included the ZOOMER Rewards MasterCard credit card, the Shinhan Bank Canada MasterCard credit card and the Canadian Wildlife Federation (CWF) which introduced the Eco-Logique MasterCard.

48

Global Card Services Key Data: We evaluate W l t our Global Gl b l Card C d Services S i b business i on a managed db basis. i M Managed db basis i ttreats t securitized iti d lloan receivables as if they were still on the balance sheet and presents the earnings on the sold loan receivables as if they were not sold. The receivables that have been securitized are subject to the same underwriting standards and ongoing monitoring as the held loans. The credit performance of the managed portfolio is important to understanding the results of card operations. Managed Credit Card Data (1)

Gross Interest Yield

11.51%

11.68%

2.94%

6.56%

10.16%

5.58%

Risk adjusted margin (2) Loss rates Average outstandings (3)

$175,524

$184,676

(3)

$169,815

$187,162

New account growth (4)

2,188

5,279

$100,000

$124,278

Ending outstandings

Global Card Services

Year-to-Date June 30, 2009 2008

Dollars in millions

Retail volume

June 2009 YTD Total Managed Revenue

Debit Card 8.4%

7.64%

5.53%

90+ Day

4.21%

2.82%

Other (0.4%)

Consumer Lending 8 6% 8.6%

D li Delinquencies i 30+ Day

Small Business Lending 6.4%

Consumer Card 63.2%

International 13.8%

(1) Reflects US, Europe and Canada consumer credit card on a managed basis (2) Reflects margin and noninterest revenue adjusted for loss rates (3) Outstandings for 2008 include Government Card (4) New accounts in thousands

Ending Managed Loans

Payment Volumes

$ in Millions

$ in Millions

14.19%

$240,617

$215,904

$39,193

$34,161 $199,785

$201 424 $201,424

11.97%

$181 743 $181,743

$161,560

June 2008 YTD

June 2008 YTD

June 2009 YTD

Domestic Loans

Foreign Loans

$ in Millions

(includes Debit Card) $215,170

eCommerce 18.9%

$104,329 $106,291

$134,911

June 2008 YTD Retail Volume

Payment Rate

June 2009 YTD Account Production by Channel

Retail Volumes $239,240

June 2009 YTD

Payment Volume

Franchise 54.9%

$108,879

June 2009 YTD Debit Card Retail Volume

49

Alternate Other 12 1% 12.1% Direct Mail 5.7%

Acquired Accounts 0.5%

Media Marketingg 3.2% Teleservices 1.9% Event Marketing 1.5% Point of Sale 1.2%

Global Card Services Financials - Segment Results (1) Three months ended June 30, 2009 compared to three months ended June 30, 2008: Global Card Services recorded a net loss of $1.6 billion for the three months ended June 30, 2009 compared to net income of $582 million for the same period in 2008 as higher provision for credit losses and lower noninterest income were partially offset by growth in net interest income and a decrease in noninterest expense. Net interest income grew $307 million, or six percent, to $5.0 billion driven by increased loan spreads due to the beneficial impact of lower short-term interest rates on our funding costs partially offset by a decrease in managed average loans and leases of $18.6 billion, or eight percent. Noninterest income decreased $470 million, or 17 percent, to $2.3 billion driven by a decrease in card income of $390 million, or 15 percent. This resulted from a decrease in credit card interchange and fee income primarily due to changes in consumer retail purchase and payment behavior in the current economic environment partially offset by an increase in debit interchange income. Provision for credit losses increased by $3.5 billion to $7.7 billion as economic conditions led to deterioration in the consumer card and consumer lending portfolios, including a higher level of bankruptcies. Also contributing were reserve additions related to maturing securitizations. Noninterest expense decreased $399 million, or 17 percent, to $2.0 $2 0 billion billi d due to llower operating i and d marketing k i costs. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Global Card Services recorded a net loss of $3.5 billion compared to net income of $1.4 billion for the same period in 2008 as higher provision for credit losses and lower noninterest income were partially offset by growth in net interest income and a decrease in noninterest expense. Net interest income increased $977 million, or 10 percent, to $10.3 billion, noninterest income decreased $1.6 billion, or 26 percent, to $4.5 billion, provision for credit losses increased $7.5 billion to $16.2 billion and noninterest expense decreased $519 million, or 11 percent. These period-over-period changes were driven by the same factors as described in the three-month discussion above. In addition, noninterest income was adversely impacted by the absence of a positive valuation adjustment on the interest-only strip that was recorded during the six months ended June 30, 2008. Also, other income included a one-time Visa-related IPO gain of $388 million in 2008.

(Dollars in millions)

Net interest income (2) Noninterest income: Card income All other income Total noninterest income Total revenue, net of interest expense Provision for credit losses (3) Noninterest expense Income (loss) before income taxes Income tax expense (benefit) (2) Net income (loss) Net interest yield (2) Return on average equity Efficiency ratio (2)

Second Quarter 2009

Six Months Ended June 30 2009 2008

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

$10,308

$9,331

$5,049

$5,259

$5,302

$4,922

$4,742

4,279 259 4,538 14,846

5,275 824 6,099 15,430

2,164 124 2,288 7,337

2,115 135 2,250 7,509

2,469 239 2,708 8,010

2,290 534 2,824 7,746

2,554 204 2,758 7,500

16,182 4,053 (5,389)

8,711 4,572 2,147

7,741 1,976 (2,380)

8,441 2,077 (3,009)

5,851 2,177 (18)

5,602 2,404 (260)

4,259 2,375 866

(1,895) $(3,494)

746 $1,401

(762) $(1,618)

(1,133) $(1,876)

(61) $43

(89) $(171)

284 $582

9.27

%

7.91 %

9.20

%

9.34 %

9.03 %

8.15 %

7.97 %

n/m

7.28

n/m

n/m

0.42

n/m

6.01

27.30

29.63

26.93

27.66

27.19

31.04

31.67

$224,391 224 274 224,274 241,285 41,249

$236,738 237 145 237,145 259,807 38,716

$220,365 220 133 220,133 236,017 42,118

$228,461 228 460 228,460 246,611 40,370

$233,427 233 513 233,513 253,455 40,295

$239,951 240 298 240,298 261,798 39,008

$238,918 239 413 239,413 261,456 38,978

$215,904 215,633 231,986

$240,617 240,994 263,253

$215,904 215,633 231,986

$221,984 221,794 238,410

$233,040 233,094 252,684

$235,998 236,157 256,885

$240,617 240,994 263,253

Balance sheet Average Total loans and leases T t l earning Total i assets t Total assets Allocated equity Period end Total loans and leases Total earning assets Total assets (1) Presented on a managed basis. (2) Fully taxable-equivalent basis (3) Represents provision for credit losses on held loans combined with realized credit losses associated with the securitized loan portfolio. n/m = not meaningful Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

50

Global Card Services Financials - Key Indicators

(Dollars in millions)

Six Months Ended

Second

First

Fourth

Third

Second

June 30

Quarter

Quarter

Quarter

Quarter

Quarter

2009

2009

2008

2008

2008

2009

2008

Credit Card Data (1) Loans Average Held credit card outstandings Securitization impact Managed credit card outstandings

$73,167 102,357 $175,524

$78,370 106,306 $184,676

$70,546 102,046 $172,592

$75,818 102,672 $178,490

$82,117 99,116 $181,233

$80,489 105,919 $186,408

$78,221 107,438 $185,659

Period end Held credit card outstandings Securitization impact Managed credit card outstandings

$69,377 100,438 $169,815

$78,642 108,520 $187,162

$69,377 100,438 $169,815

$67,960 105,392 $173,352

$81,274 100,960 $182,234

$81,350 102,048 $183,398

$78,642 108,520 $187,162

$3,676 5,165 $8,841

$2,064 3,059 $5,123

$2,064 2,983 $5,047

$1,612 2,182 $3,794

$1,406 1,857 $3,263

$1,242 1,754 $2,996

$1,108 1,643 $2,751

Credit Quality Charge-offs $ Held net charge-offs Securitization impact Managed credit card net losses Charge-offs % Held net charge-offs Securitization impact Managed credit card net losses 30+ Delinquency $ Held delinquency Securitization impact Managed delinquency

10.13 % 0.03 10.16 %

$5,221 7,748 $12,969

30+ Delinquency % Held delinquency Securitization impact Managed delinquency 90+ Delinquency $ Held delinquency S Securitization iti ti iimpactt Managed delinquency

7.53 % 0.11 7.64 %

$2,894 4 263 4,263 $7,157

90+ Delinquency % Held delinquency Securitization impact Managed delinquency

5.29 % 0.29 5.58 %

11.74 % (0.01) 11.73 %

$4,121 6,226 $10,347

$5,221 7,748 $12,969

5.24 % 0.29 5.53 %

7.53 % 0.11 7.64 %

$2,109 3 169 3,169 $5,278

$2,894 4 263 4,263 $7,157

8.62 % 8.62 %

$5,365 8,246 $13,611

7.90 % (0.05) 7.85 %

$2,816 4 106 4,106 $6,922

6.82 % 0.34 7.16 %

$5,324 6,844 $12,168

6.55 % 0.13 6.68 %

$2,565 3 185 3,185 $5,750

6.14 % 0.26 6.40 %

$4,675 6,126 $10,801

5.75 % 0.14 5.89 %

$2,330 2 958 2,958 $5,288

5.69 % 0.27 5.96 %

$4,121 6,226 $10,347

5.24 % 0.29 5.53 %

$2,109 3 169 3,169 $5,278

4.17 % 0.04 4.21 %

2.68 % 0.14 2.82 %

4.17 % 0.04 4.21 %

4.14 % (0.15) 3.99 %

3.16 % 3.16 %

2.87 % 0.01 2.88 %

2.68 % 0.14 2.82 %

Managed credit card data Gross interest yield Risk adjusted margin New account growth (in thousands) Purchase volumes

11.51 % 2.94 2,188 $100,000

11.68 % 6.56 5,279 $124,278

11.33 % 1.28 958 $51,944

11.68 % 4.56 1,230 $48,056

11.87 % 6.38 1,432 $56,585

11.52 % 6.67 1,765 $62,662

11.44 % 6.30 2,665 $64,457

Debit Card Data Debit purchase volumes

$106,291

$104,329

$55,158

$51,133

$52,925

$53,252

$54,268

Other Global Card Services Key Indicators

(1) Credit Card includes U.S, Europe and Canada consumer credit card. Does not include business card, debit card and consumer lending.

Certain prior period amounts have been reclassified to conform to the current period presentation.

51

Home Loans & Insurance The Bank of America Home Loans brand, launched on April 27, 2009, represents the combined operations of Bank of America’s mortgage and home equity businesses and Countrywide Home Loans, which Bank of America acquired on July 1, 2008. The Countrywide brand has been retired. Bank of America Home Loans & Insurance provides customers with products and services in three core product areas: Residential Mortgage, Home Equity and Reverse Mortgage, and Insurance. First mortgage products are either sold into the secondary mortgage market to investors, while retaining mortgage servicing rights and the Bank of America customer relationships, or are held on our balance sheet in All Other for ALM purposes. Bank of America is committed to helping customers sustain homeownership by lending responsibly. Our commitment includes educating consumers to help them make informed decisions, and offering clear, understandable products with no surprises. Features: • Distribution channels include Bank of America’s extensive banking center network, mortgage loan officers, online, telephone, and wholesale and correspondent offerings. • The vast majority of our originated mortgage products meet the conforming loan standards of Fannie Mae, Freddie Mac, or the Federal Housing Administration. • We serve the unique home finance needs of the growing senior consumer population with reverse mortgage g a network of specially trained loan officers. products available through • Bank of America's Insurance Services Group provides: – Insurance and financial protection solutions to bank customers and third party institutional clients – Loan protection products, as well as home warranty services and identity theft coverage for credit card, home equity and mortgage customers – Diversified consumer offerings, including auto, homeowners, renters and term life insurance Achievements: • Bank of America is the nation’s leading mortgage servicer, second largest mortgage originator and the leading home equity provider through the first half of 2009. • Our Clarity CommitmentTM home loan summary, has been hailed within the media and the industry as an exemplary response designed to restore faith and credibility among consumers within the industry.

52

Home Loans & Insurance Mortgage Origination Market Bank of America Statistics

Industry Statistics Peer Comparison First Half 2009 - $995 Billion

Total Originations & Rankings (First Half 2009) Bank of America, #2

• #2 Lender with 20.5% market share 20.5%

• Based on $204 billion in production

42.2%

Wells Fargo, #1 JPM Chase, #3

23.5% Citibank, #4 5.6%

8 2% 8.2% All Others

Channel Distribution

Channel Composition & Rankings (First Half 2009)

First Half 2009 - $995 Billion

• #2 Retail lender with 21.9% channel share • Based on $103 billion in production Retail, $469B

• #6 Wholesale lender with 6.2% channel share

37% 47%

• Based on $10 billion in production

Correspondent, $369B

16%

• #1 Correspondent lender with 24.7% channel share

Wholesale, $157B

• Based on $91 billion in production

Product Distribution

Product Composition & Rankings (First Half 2009)

First Half 2009 - $995 Billion 0.5%

• #2 Conforming lender with 17.0% product share

Conforming, $687B

3%

• Based on $117 billion in production

5%

• #1 FHA/VA lender with 30.3% product share

FHA/VA, $221B

22%

• Based on $67 billion in production

Prime Jumbo, $51B 69%

Home Equity, $31B Other, $5B

Source: Inside Mortgage Finance Publications, Inc. Copyright 2009; Ranking and volume are based on combined volume for Bank of America and Countrywide Financial as reported by Inside Mortgage Finance Publications, Inc.

53

Home Loans & Insurance Bank of America Home Loans – First Mortgage Bank of America’s mortgage g g business ggenerates revenue byy p providingg mortgage g g p products that enable customers to achieve and sustain home ownership. Features: • In the first six months of 2009, we funded more than $195 billion in first mortgage loan products and increased our mortgage lending capacity in response to the surge in home loan inquiries and applications to help nearly 880,000 people either purchase a home or refinance their existing mortgage in the first six months of 2009. In the second quarter of 2009, approximately 29 percent of first mortgages were for purchases. • Now has a network of more than 8,000 mortgage loan sales professionals in addition to the associates located in our banking centers, and an unmatched distribution of 6,109 banking centers – crossing diverse geographic and economic markets • Maintains a servicing portfolio of over $2 trillion, representing 14.1 million loans • As part of the 2009 Bank of America Home Loans brand launch, new tools and programs reflecting the simplicity, clarity and transparency customers tell us they want from the home lending process were introduced. This approach to lending i th is the basis b i off our b brand d promise, i which hi h iis always l tto b be a responsible ibl llender d and dh help l create t successful f lh homeowners. Tools and programs include: –

The Clarity Commitment TM, a single, one-page loan summary that clearly presents to borrowers their interest rate, terms and other details of the loan in plain language.

–

The Bank of America Home Loan Guide, an interactive Web site that arms customers with the personalized information to prepare for homeownership and make informed home buying and refinance decisions.

Achievements: • In the first six months of 2009, Bank of America’s mortgage business was the #1 loan servicer and #2 mortgage originator as reported by Inside Mortgage Finance with a market share of 20 percent. • As one of the nation’s leading home loan providers, Bank of America has taken a leadership role by making commitments to our customers and communities. This includes: –

Helping customers avoid foreclosures by providing rate relief or agreeing to modifications with approximately 151,000 customers for the first six months of 2009, compared with more than 230,000 for all of 2008. In addition, as of mid-July mid July 2009, approximately 80,000 customers were already in a trial modification period or were in the process of responding to an offer under the Making Home Affordable program.

–

Working with 40 state Attorneys General, we created the National Homeownership Retention Program, and have committed to assisting up to 400,000 eligible Countrywide and Bank of America borrowers with option ARM or subprime loans.

–

Doubling the size of our home retention team since last year, which now has more than 7,500 associates dedicated to helping customers stay in their homes.

–

Working with community stakeholders and city and state grantees that received funding under the Neighborhood Stabilization Program administered by the U.S. Department of Housing and Urban Development to repurpose abandoned, bank-owned or bank-serviced properties in low- to moderate-income communities.

–

Undertaking a 10-year, $1.5 trillion community development lending and investing goal, focused on delivering capital to low- to moderate-income and minority communities for affordable housing, economic development and consumer and small business lending.

–

Creating a $35 million “Neighborhood Preservation and Foreclosure Prevention Program” to help provide loan counseling, foreclosure prevention, and support for purchase and management of vacant properties.

–

Origination mortgages to lowlo and moderate-income moderate income borro borrowers ers and areas totaled $40 billion in first half of 2009, serving more than 256,000 borrowers. This includes First Mortgage and Home Equity.

54

Home Loans & Insurance Bank of America Home Loans – Home Equity and Reverse Mortgage Bank of America is the nation nation’ss leading home equity provider with the industry industry’ss largest home equity portfolio with $155 billion in funded commitments and an additional $99 billion in unfunded commitments, serving more than 2.7 million customers. Bank of America continues to adapt to changing economic realities, adjusting our credit policy responsibly to ensure that customers who obtain home equity financing are capable of making interest and principal payments. Features: • We provide our customers with an extensive line of home equity products and services through retail channels, including banking centers, retail mortgage offices, telephone, and internet. Product offerings include home equity lines of credit (HELOCs), with variable interest rate or fixed-rate loan options, and home equity loans (HELOANs). • Our products help customers realize their financial goals and stimulate economies in communities across the nation, as customers use their loans to make home improvements, consolidate credit card debt, pay for education, and invest in small businesses. • Throughout the first half of 2009, deteriorating housing values and rising unemployment continued to impact the credit quality of our home equity portfolio. • The reverse mortgage business is benefiting from government action to raise reverse mortgage limits and increase loan availability to seniors. • Through the first half of 2009, reverse mortgage volume has maintained its industry leadership position through the balanced approach of both a strong direct-to-consumer direct to consumer channel and a sustainable business-tobusiness to business model. In the first half of 2009, reverse mortgage originations totaled over $3.6 billion. – Despite continued challenging economic conditions, Bank of America experienced strong double-digit percentage growth in reverse mortgage production in the first half of 2009 versus the same period in 2008, fueled by expanded government loan limits, uncertainties in traditional retirement portfolios and the Countrywide acquisition. – The direct-to-consumer model is supported by referrals from the largest national banking center network, t k while hil th the business-to-business b i t b i model d l iis supported t d by b extensive t i relationships l ti hi with ith hi highh quality brokers and a robust origination and fulfillment platform.

55

Home Loans & Insurance Financials - Segment Results Three months ended June 30, 2009 compared to three months ended June 30, 2008: Home Loans & Insurance recorded a net loss of $725 million for the three months ended June 30, 2009 compared to a net loss of $948 million for the same period in 2008 as growth in noninterest income and net interest income was partially offset by an increase in noninterest expense and higher provision for credit losses. Net interest income grew $577 million, or 93 percent, driven primarily by an increase in average home equity loans and LHFS. The growth in average home equity loans of $38.5 billion, or 42 percent, and a $23.4 billion increase in LHFS were attributable to the Countrywide acquisition as well as increases in our home equity portfolio as a result of line utilization, new production, slower prepayment speeds, and the migration of certain households’ loans from GWIM to the Home Loans & Insurance segment. Noninterest income increased $2.6 billion to $3.3 billion driven by higher mortgage banking income and insurance income. Mortgage banking income grew $2.2 billion due primarily to the Countrywide acquisition. Mortgage banking income also benefited as lower current interest rates drove higher production income. Insurance income increased $440 million due to the Countrywide acquisition. Provision for credit losses increased $692 million to $2.7 billion driven by economic and housing market k weakness k particularly i l l iin geographic hi areas experiencing i i hi higher h unemployment l and d ffalling lli h home prices. i Addi Additionally, i ll reserves were increased i d iin the Countrywide SOP 03-3 portfolio reflecting a reduction in expected principal cash flows. Noninterest expense increased $2.1 billion to $2.8 billion primarily driven by the Countrywide acquisition. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Home Loans & Insurance recorded a net loss of $1.2 billion compared to a net loss of $1.7 billion for the same period in 2008, as growth in net interest income of $1.2 billion and noninterest income of $5.9 billion were partially offset by higher provision for credit losses of $2.3 billion and an increase in noninterest expense of $4.0 billion. Net interest income grew $1.2 billion to $2.4 billion due to the growth in average home equity loans of $37.9 billion, or 43 percent, and $20.6 billion increase in LHFS. These period-over-period changes were driven by the same factors as described in the three-month discussion above.

(Dollars in millions; except as noted) Six Months Ended June 30 2009 2008

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

Net interest income (1) Noninterest income: Mortgage banking income Insurance income All other income Total noninterest income Total revenue, net of interest expense

$2,376

$1,170

$1,197

$1,179

$1,006

$1,135

$620

6,040 1,134 134 7,308 9,684

1,064 201 149 1,414 2,584

2,637 553 74 3,264 4,461

3,403 581 60 4,044 5,223

1,603 646 (2) 2,247 3,253

1,755 569 15 2,339 3,474

409 113 119 641 1,261

Provision for credit losses

6,098 5,479 (1,893)

3,846 1,470 (2,732)

2,726 2,829 (1,094)

3,372 2,650 (799)

1,623 2,752 (1,122)

818 2,741 (85)

2,034 732 (1,505)

(670) $(1,223)

(1,011) $(1,721)

(369) $(725)

(301) $(498)

(438) $(684)

(31) $(54)

(557) $(948)

Noninterest expense Loss before income taxes Income tax benefit (1) Net loss Net interest yield (1) Efficiency ratio (1)

2.51

%

2.39 %

2.43

%

2.60 %

2.31 %

3.05 %

2.47 %

56.58

56.91

63.41

50.74

84.59

78.90

58.02

$129,110 190,945 226,161

$89,218 98,327 102,217

$131,509 197,758 232,194

$126,685 184,056 220,061

$122,065 173,152 204,826

$122,034 148,209 179,998

$91,199 101,109 104,539

15,118

3,106

15,827

14,403

15,478

16,236

3,342

$131,120 197,528 234,388

$92,064 100,910 103,765

$131,120 197,528 234,388

$131,332 184,136 221,547

$122,947 175,609 205,046

$122,975 167,338 178,956

$92,064 100,910 103,765

$ $2,111.9

$ $540.8

$ $2,111.9

$ $2,112.8

$ $2,057.3

$ $2,026.2

$ $540.8

Balance sheet Average Total loans and leases Total earning assets Total assets Allocated equity Period end Total loans and leases Total earning assets Total assets Period end (in billions) M Mortgage servicing i i portfolio f li (2) (1) Fully taxable-equivalent basis (2) Servicing of residential mortgage loans, home equity lines of credit, home equity loans and discontinued real estate mortgage loans.

Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

56

Home Loans & Insurance Financials - Key Indicators

(Dollars in millions, except as noted)

Mortgage servicing rights at fair value rollforward: Beginning balance Countrywide balance, July 1, 2008 Merrill Lynch balance, January 1, 2009 Additions Impact of customer payments Other changes in MSR Ending balance Capitalized mortgage servicing rights (% of loans serviced) Mortgage loans serviced for investors (in billions) Loan production: Home Loans & Insurance First mortgage Home equity Total Corporation First mortgage Home equity

Mortgage banking income Production income Servicing income: Servicing fees and ancillary income Impact of customer payments Fair value changes of MSRs, net of economic hedge results Other servicing-related revenue Total net servicing income Total Home Loans & Insurance mortgage banking income Other business segment mortgage banking income (loss) Total consolidated mortgage banking income

Six Months Ended June 30 2009 2008

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

$12,733 209 2,966 (1,988) 4,615 $18,535

$14,096 1,717 (803) 3,525 $18,535

$12,733 209 1,249 (1,185) 1,090 $14,096

$20,811 677 (1,458) (7,297) $12,733

$4,250 17,188 875 (1,425) (77) $20,811

109 $1,703

$3,053 1,035 (430) 592 $4,250 bps

145 bps $292

109 $1,703

bps

83 bps $1,699

77 bps $1,654

126 bps $1,654

Second Quarter 2008 $3,163 669 (233) 651 $4,250 145 bps $292

$183,154 5,843

$36,559 22,818

$104,082 2,920

$79,072 2,923

$42,761 3,920

$49,625 5,260

$18,515 8,997

195,863 7,688

44,360 28,141

$110,645 3,650

85,218 4,038

44,611 5,326

51,539 7,023

22,438 11,500

$3,288

$679

$1,651

$1,637

$691

$749

$283

3,032 (1,978) 1,439 259 2,752 6,040

515 (430) 300 385 1,064

1,515 (793) 138 126 986 2,637

1,517 (1,185) 1,301 133 1,766 3,403

1,487 (1,458) 783 100 912 1,603

1,526 (1,425) 823 82 1,006 1,755

266 (233) 93 126 409

(199) $5,841

(174) $890

(110) $2,527

(89) $3,314

(80) $1,523

(81) $1,674

30 $439

Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

57

Global Banking Global Banking provides a wide range of lending lending-related related products and services, integrated working capital management, treasury solutions and investment banking services to clients worldwide through our network of offices and client relationship teams along with various product partners. Our clients include multinationals, middle-market and business banking companies, correspondent banks, commercial real estate firms and governments. Client-facing businesses: ‐ Global Commercial Banking (GCB) ‐ Global Corporate & Investment Banking (GCIB) Features: • Our lending products and services include commercial loans and commitment facilities, real estate lending, leasing, trade finance, short-term credit facilities and asset-based lending and indirect consumer loans. • Our capital management and treasury solutions include treasury management, foreign exchange and shortterm investing options. • Our investment banking services provide our commercial and corporate issuer clients with debt and equity underwriting and distribution capabilities as well as merger-related and other advisory services. • Our clients are supported in offices throughout the world that are divided into four distinct geographic regions: U.S. U S and Canada; Asia; Europe Europe, Middle East East, and Africa; and Latin America. America Achievements: • Investment Banking Product Rankings (1): Bank of America Corporation and Subsidiaries Investment Banking Product Rankings Six months ended June 30, 2009

Global Product Ranking Market Share

U.S. Product Ranking

Market Share

High-yield corporate debt Leveraged loans Mortgage-backed securities Asset-backed securities Convertible debt Common stock underwriting Investment grade corporate debt Syndicated loans

1 1 1 2 5 5 4 5

16% 14 20 11 8 6 6 6

1 1 1 3 3 4 3 2

20% 19 23 13 14 12 14 20

Net investment banking revenue Announced mergers and acquisitions Equity capital markets Debt capital markets

3 5 4 3

7 18 7 6

2 5 4 2

12 37 12 14

Figures above include self-led transactions. Excluding self-led deals (1): ‐ Global and U.S. asset-backed securities rankings were #1 ‐ Global net investment banking revenue ranking was #2

- U.S. investment grade corporate debt ranking was #2 - U.S. U S announced mergers and acquisitions ranking was #4

(1) Source: Dealogic data. Rankings based on deal volumes except for investment banking revenue rankings which reflect fees. Mergers and acquisition fees included in investment banking revenues reflect 10 percent fee credit at announcement and 90 percent fee credit at completion as per Dealogic. Mergers and acquisitions volume rankings are for announced transactions and provide credit only to the investment bank advising the parent company that is domiciled within that region. Each advisor receives full credit for the deal amount unless advising a minority stakeholder.

58

Global Banking Global Commercial Banking (GCB) Global Commercial Banking provides mid mid-size size companies with seamless, integrated delivery of all Global Banking and Global Wealth & Investment Management products and solutions, including credit, treasury solutions and liquidity, investment banking, capital markets, risk management, wealth management and retirement services. Core businesses and client segments: ‐ Commercial Regions: ‐ Business Banking ‐ Middle-Market Banking ‐ Specialized Industries ‐ Commercial Real Estate Banking ‐ Dealer Financial Services These businesses are supported by product specialists in Commercial Product Delivery, who partner with client managers to provide integrated credit and treasury solutions, including asset-based lending. Features: • GCB serves more than 160,000 clients, including one in five companies that have revenues from $2.5 million to $20 million, and one in three companies with revenues between $20 million and $2 billion. $2 5 million and $20 million. million • Business Banking serves companies with annual revenues between $2.5 • Middle-Market Banking serves companies with revenues of more than $20 million. • Specialized Industries provides Healthcare, Not-For-Profit, Education and Government clients with treasury management, bond proceeds solutions, capital raising, and works with various product partners on public finance, interest rate protection, private placements and leasing services. • Commercial Real Estate Banking provides comprehensive financial solutions for clients in the real estate industry, including public and private Real Estate Investment Trusts, funds, and commercial and residential development companies. • Dealer Financial Services serves automobile, recreational vehicle and marine dealers as well as retail customers through dealers and our online channel. Achievements: • #1 market share in all core businesses • #1 in syndicated loans to middle-market companies • #1 lender in asset based lending • #1 Small Business Administration 504 lender

59

Global Banking Global Corporate & Investment Banking (GCIB) GCIB provides large domestic and global corporations and financial institutions with merger and acquisition (M&A) advice, lending, risk management, treasury and liquidity, and payments management and works in close coordination with Global Markets product specialists to provide clients with innovative equity and debt capital raising and financing solutions. GCIB also helps serve individual banking and investment needs through referrals to Global Wealth & Investment Management. Core businesses: p Markets,, which jjointlyy reports p to Global Markets ‐ Global Capital ‐ Americas Corporate & Investment Banking ‐ International Corporate & Investment Banking ‐ Corporate Finance, Mergers & Acquisitions, and Financial Sponsors Features: • Full service integrated Corporate & Investment Banking capabilities with regional and sector coverage coordinated globally • Global coverage across industries including: –

Consumer & Retail

–

Energy & Power

–

Global Industries

–

Financial Institutions

–

Healthcare

–

Real Estate, Gaming & Lodging

–

Technology, Media & Telecom

• M&A advisory services, debt and equity capital raising capabilities, and corporate banking to deliver i t g t d financial integrated fi i l solutions l ti • Clients in over 150 countries through more than 40 offices in the Americas; Europe, Middle East & Africa; and Asia Pacific Achievements (1): • #2 in Global Debt, Equity and Equity-Linked Capital Raising in terms of volume –

#1 iin Gl Global b l LLeveraged d LLoans

–

#1 in Global High-Yield Corporate Debt (2)

–

#2 in U.S. Investment Grade Corporate Debt

–

#4 in Global Equity and Equity-Linked Issuance

(1) Dealogic; year to date through 06/30/2009 (2) Dealogic; as of 06/30/2009; excluding self-led deals

60

Global Banking Global Corporate & Investment Banking (continued) Achievements (continued): • #5 in global announced M&A including some of the most transformative transactions year to date – –

–

–

Advised on 94 deals valued at $221 billion Led Pfizer's $68 billion acquisition of Wyeth (proposed), the largest M&A transaction year to date, and served as Joint Bookrunner for $22.5 billion Bridge Facility and subsequent Global Notes Offerings Advised on BankUnited acquisition by a private equity consortium and similar IndyMac transaction, the only FDIC-assisted deals for distressed institutions Advised EDF in its £12.6 billion acquisition of British Energy, including creation of Nuclear Power Notes to enhance liquidity for shareholders through deferred cash payments over 10 years

• #1 in Americas and global Financial Sponsor-related transactions, with 16 percent and 13.7 percent market share respectively –

–

Joint Bookrunner on $749 million Concurrent Common Equity and Convertible Notes Offering for Hertz Global Holdings Joint Bookrunner on $545 million in Senior Secured Notes for Univision Communications as well as Joint Lead Arranger in connection with the amendment of the Company's Senior Secured Credit Facility

• Primary lead manager on 54 stock transactions – more than any other bank –

–

Joint Bookrunner for $400 million Equity Offering and concurrent $403 million Convertible Notes for Johnson Controls Inc. Joint Global Coordinator and Joint Bookrunner for $3 billion Rights Issue for Nordea Bank AB

• In top-rated bond deals, Bank of America Merrill Lynch was the lead bank in nine of the ten largest transactions –

–

Joint Bookrunner on largest g healthcare bond offeringg this yyear,, $ $16.5 billion of Senior Notes for Roche Pharmaceuticals Joint Bookrunner on Mizuho Financial Group’s $850 million offering of Perpetual Preferred Securities

(1) Dealogic; year-to-date through 06/30/2009 (2) Dealogic; as of 06/30/2009; excluding self-led deals

61

Global Banking Global Product Solutions (GPS) Global Product Solutions (GPS) designs, delivers and services integrated credit and treasury products to more than 140,000 clients around the world, including small businesses, middle-market and large corporations, multi-nationals, financial institutions and governments. These solutions, distributed through client managers, include business and corporate lending, global payments and liquidity management, commercial card services, trade finance, foreign exchange, lines of credit and equipment financing solutions. Core businesses: ‐ Centralized Product Delivery

- Global eCommerce and Product Development

‐ Product Management

- Client Delivery & Service

‐ Merchant Services

- Leasing

‐ Global Securities and Trust Services ‐ Global Corporate & Financial Institutions Product Delivery Features: • Supports Global Corporate & Investment Banking, Global Commercial Banking, Wealth Management and Consumer clients • Originates and receives nearly 3 billion electronic payment transactions and deposits an average of 4 billion checks p per yyear • Provides integrated treasury, liquidity and debt solutions and ongoing portfolio management and credit manufacturing to Global Investment Banking corporate clients and prospects, Financial Institutions and Global Commercial Banking clients • Underwrites, structures and negotiates treasury and credit client solutions • Researches current and future client needs to develop industry-leading products • Works closely with Global Technology & Operations teams to provide effective support to clients Achievements: • GPS is the #1 treasury services provider in the U.S. and a leading provider globally, serving 95 percent of U.S. Fortune 500 companies and 73 percent of the Fortune Global 500. • Ranked as the largest bank-owned equipment finance/leasing company in the U.S.

62

Global Banking Financials - Segment Results Three months ended June 30, 2009 compared to three months ended June 30, 2008: Net income increased $1.1 billion, or 74 percent, to $2.5 billion due to higher total revenue benefiting from a $3.8 billion pre-tax gain related to the contribution of the merchant processing business into a joint venture. This increase in revenue was partially offset by increases in provision for credit losses and noninterest expense. Net interest income increased $221 million, or nine percent, driven by average deposit growth of $30.1 billion or 18 percent, and average loan growth of $7.9 billion, or three percent. The increase in average deposits was driven by organic growth benefiting from a flight-to-quality in late 2008. The increase in average loans and leases was driven by the acquisition of Merrill Lynch, partially offset by decreased client demand due to current economic conditions. Net interest income also benefited from improved loan spreads on new, renewed or amended facilities. These increases were partially offset by spread compression on deposits, lower residual net interest income allocation related to ALM activities, and the negative impact of increased nonperforming loans. Noninterest income increased $4.0 billion to $5.9 billion, mainly driven by the gain related to the contribution of the merchant processing business into a joint venture and higher investment banking income. Investment banking income i increased d $407 million illi d due to the h acquisition i i i off M Merrill ill LLynch h and d strong growth h iin d debt b and d equity i capital i l markets k ffees. Th The provision i i ffor credit di llosses increased $2.2 billion to $2.6 billion driven by reserve increases and higher net charge-offs within the commercial-domestic portfolio, which were across a broad range of borrowers and industries. Also contributing to the increase were higher net charge-offs and reserve increases within the commercial real estate portfolio for deterioration across various property types. Noninterest expense increased $485 million, or 28 percent, primarily attributable to higher FDIC expenses including the special assessment and the impact of the Merrill Lynch acquisition. These items were partially offset by decreased personnel expense. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Net income increased $203 million, or eight percent, due to higher total revenue of $4.9 billion which was largely offset by increases in provision for credit losses of $3.5 billion and noninterest expense of $1.3 billion. These period-over-period changes were driven by the same factors as described in the three-month discussion above. In addition, noninterest income and noninterest expense were adversely impacted by the absence of the gain and related benefits associated with the Visa IPO. (Dollars in millions)

Six Months Ended June 30 2009 2008

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

Net interest income (1) Noninterest income: Service charges Investment banking income All other income (loss) Total noninterest income Total revenue, net of interest expense

$5,553

$4,863

$2,738

$2,815

$3,100

$2,734

$2,517

1,851 1,436 4 458 4,458 7,745 13,298

1,580 740 1 171 1,171 3,491 8,354

909 792 4 219 4,219 5,920 8,658

942 644 239 1,825 4,640

809 422 (328) 903 4,003

820 252 428 1,500 4,234

824 385 729 1,938 4,455

Provision for credit losses Noninterest expense Income before income taxes Income tax expense (1) Net income

4,432 4,747 4,119 1,460 $2,659

926 3,494 3,934 1,478 $2,456

2,584 2,232 3,842 1,355 $2,487

1,848 2,515 277 105 $172

1,402 1,113 1,488 378 $1,110

802 1,767 1,665 621 $1,044

400 1,747 2,308 875 $1,433

Net interest yield (1) Return on average equity Efficiency ratio (1)

3.32 9.17 35 70 35.70

%

3.09 10.27 41 82 41.82

%

3.30 16.50 25 78 25.78

%

3.35 1.23 54 21 54.21

%

3.61 8.34 27 83 27.83

%

3.32 8.36 41 73 41.73

%

3.15 11.85 39 24 39.24

Balance sheet Average Total loans and leases Total earning assets Total assets Total deposits Allocated equity

$327,074 336,832 393,483 197,981 58,490

$310,603 316,941 372,994 165,232 48,099

$323,217 332,589 389,387 199,879 60,455

$330,974 341,122 397,625 196,061 56,503

$331,115 341,453 396,406 198,246 52,941

$320,813 327,517 383,913 176,570 49,644

$315,282 321,385 378,233 169,738 48,634

Period end Total loans and leases T t l earning Total i g assets t Total assets Total deposits

$314,512 323 743 323,743 381,123 201,207

$322,675 329 265 329,265 386,525 173,576

$314,512 323 743 323,743 381,123 201,207

$323,407 333 226 333,226 387,410 194,864

$328,574 338 913 338,913 393,430 214,755

$326,970 338 405 338,405 396,448 194,462

$322,675 329 265 329,265 386,525 173,576

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

(1) Fully taxable-equivalent basis

Components of Investment Banking Income (Dollars in millions)

Investment banking income Advisory (1) Debt issuance Equity issuance Total Global Markets and Investment Banking Other (2) Total investment banking income

Six Months Ended June 30 2009 2008 $621 1,599 1 599 665 2,885 (184) $2,701

$253 828 350 1,431 (260) $1,171

$292 944 508 1,744 (98) $1,646

(1) Advisory includes fees on debt and equity advisory and merger and acquisitions. (2) Represents the offset to fees paid on the Corporation's own issuances. Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

63

$329 655 157 1,141 (86) $1,055

$184 379 224 787 (169) $618

$109 332 50 491 (17) $474

$160 496 110 766 (71) $695

%

Global Banking Financials - Key Indicators (Dollars in millions) Six Months Ended June 30 2009 2008 Global Banking revenue, net of interest expense Global commercial banking Global corporate and investment banking Total revenue, net of interest expense

(1)

Global Banking revenue, net of interest expense - by service segment Business lending Treasury services Investment banking related (2) Total revenue, net of interest expense (1) Global Banking average deposit balances Global commercial banking Global corporate and investment banking Total Interest-bearing Noninterest bearing Noninterest-bearing Total

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

$9,480 3,818

$5,637 2,717

$6,692 1,966

$2,788 1,852

$2,861 1,142

$2,865 1,369

$2,923 1,532

$13,298

$8,354

$8,658

$4,640

$4,003

$4,234

$4,455

$4,748 7,278 1,272

$3,769 4,258 327

$2,317 5,505 836

$2,431 1,773 436

$2,191 2,152 (340)

$2,020 2,105 109

$2,155 2,018 282

$13,298

$8,354

$8,658

$4,640

$4,003

$4,234

$4,455

$123,514 74,467 $197,981

$104,041 61,191 $165,232

$127,133 72,746 $199,879

$119,853 76,208 $196,061

$118,415 79,831 $198,246

$107,142 69,428 $176,570

$107,944 61,794 $169,738

$82,773 115,208 115 208 $197,981

$86,456 78 776 78,776 $165,232

$79,060 120 819 120,819 $199,879

$86,527 109,534 109 534 $196,061

$100,259 97 987 97,987 $198,246

$89,217 87 353 87,353 $176,570

$88,130 81 608 81,608 $169,738

Global Banking loan spreads Global commercial banking Global corporate and investment banking

1.90 1.54

Provision for credit losses Global commercial banking Global corporate and investment banking Total provision for credit losses

$3,549 883 $4,432

%

1.75 % 0.65

$941 (15) $926

1.96 1.56

%

$1,992 592 $2,584

1.83 % 1.54

1.85 % 1.17

$1,557 291 $1,848

$1,037 365 $1,402

1.74 % 0.72

$671 131 $802

1.71 % 0.64

$449 (49) $400

Credit quality (3, 4) Reservable utilized criticized exposure Global commercial banking Global corporate and investment banking Total reservable utilized criticized exposure

$38,648 16.88 $12,034 10.59 $50,682 14.79

% % %

$19,907 8.76 $4,426 3.69 $24,333 7.01

% % %

$38,648 16.88 $12,034 10.59 $50,682 14.79

% % %

$33,465 14.36 $9,995 8.45 $43,460 12.37

% % %

$27,225 11.63 $7,292 5.91 $34,517 9.66

% % %

$23,020 9.93 $5,782 4.63 $28,802 8.07

% % %

$19,907 8.76 $4,426 3.69 $24,333 7.01

% % %

Nonperforming assets Global commercial banking Global corporate and investment banking Total nonperforming assets

$9,357 4.24 $1,346 1.43 $10,703 3.40

% % %

$3,639 1.61 $191 0.20 $3,830 1.19

% % %

$9,357 4.24 $1,346 1.43 $10,703 3.40

% % %

$8,077 3.60 $879 0.88 $8,956 2.77

% % %

$5,643 2.50 $736 0.71 $6,379 1.94

% % %

$4,335 1.93 $444 0.43 $4,779 1.46

% % %

$3,639 1.61 $191 0.20 $3,830 1.19

Average loans and leases by product Commercial - domestic Commercial real estate Commercial lease financing Commercial - foreign Direct/Indirect consumer Other Total average loans and leases

(1) Total Global Banking revenue, net of interest expense Less: Fair value option revenue share Less: Impact of credit mitigation Global banking revenues, net of interest expense excluding fair value option revenue share and credit mitigation

$169,583 63 576 63,576 24,262 26,946 41,217 1,490 $327,074

$158,511 59 601 59,601 24,276 26,799 39,554 1,864 $310,603

$164,673 64 609 64,609 24,208 27,051 41,233 1,443 $323,217

$174,548 62 532 62,532 24,316 26,840 41,201 1,537 $330,974

$175,260 61 395 61,395 24,324 28,546 40,144 1,446 $331,115

$163,886 60 196 60,196 24,574 28,429 42,205 1,523 $320,813

$161,013 59 909 59,909 24,287 27,895 40,344 1,834 $315,282

$13,298 104 (121)

$8,354 5 64

$8,658 242 (121)

$4,640 (138) -

$4,003 (291) 221

$4,234 (13) 24

$4,455 61 (5)

$13,315

$8,285

$8,537

$4,778

$4,073

$4,223

$4,399

(2) Includes revenue and loss sharing with Global Markets for certain activities and positions. (3) Criticized exposure corresponds to the Special Mention, Substandard and Doubtful asset categories defined by regulatory authorities. The reservable criticized exposure is on an end-of-period basis and is also shown as a percentage of total reservable commercial utilized credit exposure, including loans and leases, standby letters of credit, financial guarantees, commercial letters of credit and bankers' acceptances. (4) Nonperforming assets are on an end-of-period basis and defined as nonperforming loans and leases plus foreclosed properties. The nonperforming ratio is nonperforming assets divided by commercial loans and leases plus commercial foreclosed properties. Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

64

% % %

Global Markets Following the merger with Merrill Lynch Lynch, the Global Markets business acquired extensive global reach and broader capabilities across all product areas, particularly in Equities and Commodities. The business strategy centers on delivering best-in-class sales, trading, and research products and services to our investor clients, as well as providing risk management tools and capital raising expertise and execution to issuer clients. Closely aligned with GCIB’s client-managed groups, Global Markets product specialists serve more than 3,000 institutional investors, includingg asset managers, g banks, hedge g funds, insurance companies p and pension funds, and more than 10,000 issuer clients, including middle-market and large corporations, financial institutions and government entities. Core businesses: ‐

Global Capital Markets, which jointly reports into Global Banking

‐

Global Commodities

- Global Credit Products

‐

Gl b l Distressed Global Di t d

- Global Gl b l E Equities iti

‐

Global Mortgages & Securitized Products

- Global Proprietary Trading

‐

Global Rates & Currencies

- Global Research

‐

Global Sales

Features: • Global Capital Markets advises, structures and underwrites capital raising transactions in the equity and debt capital markets on behalf of issuer clients. • Global Commodities structures and trades natural gas and power, crude oil, refined products, coal, emissions, metals, structured notes and commodity indices. • Global Credit Products trades cash and derivative credit products and also underwrites and trades U.S. municipal securities. • Global Distressed trades distressed securities and loans, par loans and structured credit products. • Global Equities is a full-service provider of sales, trading and salestrading services for cash equities, equity derivatives and convertibles, and offers prime brokerage services and electronic execution globally. • Global Mortgages & Securitized Products is a leading market-maker and underwriter of asset and mortgage backed securities. • Global Proprietary Trading engages in principal transactions across a range of securities worldwide. • Global Rates & Currencies trades all rates and currency products, repurchase agreements and futures, and provides electronic trading services. • Global Sales provides institutional investors with investment insights and ideas along with access to the company’s trading desks and award-winning research. • Global Research: –

–

–

Global Equity Research analysts provide fundamental analysis on nearly 3,000 3 000 companies domiciled in 50 countries. Global Credit Research encompasses high grade, high-yield, credit strategy, credit derivatives, mortgages and other structured finance, convertibles, municipals and indices. Global Macro Research encompasses economics, currencies, commodities, rates, derivatives and equity investment strategies. 65

Global Markets Achievements (continued): • • • • • • • • • • • • • • • • • • • • • •

#1 in Global and U.S. high-yield debt (1) #1 in Global and U.S. leveraged loans (1) #1 in Global and U.S. asset backed securities (2) #1 in Global and U.S. mortgage backed securities (1) #2 in U.S. investment grade corporate debt (2) #2 in U U.S. S public finance (3) #2 in U.S. syndicated loans (1) #2 in Global equity and equity-linked (1) #3 in U.S. convertible debt (1) #1 in U.S. Equity Trading Market Penetration (4) #1 in U.S. Equity Trading Coverage in five of eight sectors (4) #1 European Equity Trading Share with U.K. U K clients ((4)) #1 in European Equity Derivatives, Sales and Sector Research (5) #1 in Pan-European Sales, Specialist Sales and Research (6) #1 U.K./Pan-European market share (7) More than 60 Best-in-Class awards for Global Prime Brokerage (8) #1 in Trading Capability & Overall Quality for U.S. Investors in Japanese Equities (4) Named U.S. Leveraged Finance House of the Year by International Financing Review (Banc of America Securities award) Named Best Equity House in Western Europe by Euromoney (July 2009) Named North American Debt House of the Year by Global Finance (June 2009) Named Best Overall ECP Dealer and Best USD ECP Dealer by Capital Market Daily (April 2009) Named Korea Debt House by Euromoney (March 2009) and by The Asset (December 2008)

Research: • #1 ranked research provider (4) • Financial Times Starmine Awards – #1 ranked Global Broker, #1 U.S. Broker; #2 Europe Broker and #5 Pan-Asia Broker; received 42 individual analyst awards • Wall Street Journal – “Best on the Street Stock Picking” Award - #3 in the U.S.; 17 ranked analysts • Forbes/Zacks – Best Brokerage for stock picking and estimate accuracy. Captured more than twice the awards of the runner-up. Seven out of 12 analysts named to “Dazzling Dozen” • Thomson Reuters Extel Survey – #1 for Pan-European Equity Sectors Research; #2 for Pan-European Equity & Equity-Linked Research; #2 for Continental European Small & Mid Caps Research • Institutional Investor : –

Ranked #3 in 2008 All-America Equity Research Team Survey (Merrill Lynch ranking)

–

Ranked #3 in 2008 All-America Fixed-Income Research Team Survey (Banc of America Securities ranking)

–

Ranked #2 in the 2009 All-Europe Research team survey and ranked #1 for Pan-European coverage

–

Ranked #3 in 2009 for Emerging EMEA coverage

–

Ranked #3 in the 2008 All-Latin America Survey (Merrill Lynch ranking)

(1) Dealogic; as of 06/30/2009; equity and equity-linked by number of deals (2) Dealogic; as of 06/30/2009; excluding self-led deals (3) Thomson; as of 06/30/2009 (4) Independent Research Consulting Firm 66

(5) Extel (6) Institutional Investor (7) Tabb Group (8) Global Custodian

Global Markets Financials - Segment Results Three months ended June 30, 2009 compared to three months ended June 30, 2008: Net income increased $1.1 billion to $1.4 billion as increased noninterest income and market-based net interest income were partially offset by higher noninterest expense. Net interest income, almost all of which is market-based, increased $310 million, or 26 percent, due to growth in market-based earning assets primarily due to the acquisition of Merrill Lynch. Noninterest income increased $2.8 billion due to the Merrill Lynch acquisition and favorable core trading results partially offset by a negative credit valuation adjustment on derivative liabilities of $1.6 billion due to our credit spreads tightening. In addition, we incurred market disruption charges of $1.3 billion, of which $935 million was included in Global Markets as compared to $1.2 billion for the same period in 2008 of which $1.1 billion was recorded in Global Markets. Partially offsetting these favorable results in our trading business was an increase in noninterest expense of $1.6 billion that was largely attributable to the Merrill Lynch acquisition and an increase in incentive compensation expense due to improved revenue performance. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Net income was $3.8 billion compared to a net loss of $691 million for the same period in 2008. This period-over-period change was driven by the same factors as described in the three-month discussion above. Market disruption charges were $3.0 billion, of which $2.5 billion were included in Global Markets as compared to $4.0 billion for the same period in 2008 of which $3.6 billion was recorded in Global Markets. In addition, credit valuation adjustments on derivative liabilities were relatively flat for the six months ended June 30, 2009.

(Dollars in millions)

Six Months Ended

Second

First

Fourth

Third

Second

June 30

Quarter 2009

Quarter 2009

Quarter 2008

Quarter 2008

Quarter 2008

2009 (1)

2008

Net interest income Noninterest income: Investment and brokerage services Investment banking income Trading account profits (losses) All other income (loss) Total noninterest income (loss) Total revenue, net of interest expense

$3,396

$2,332

1,415 1,306 6,935 (1,701) 7,955 11,351

406 690 (1,419) (1,472) (1,795) 537

Provision for credit losses Noninterest expense Income (loss) before income taxes Income tax expense (benefit) (1) Net income (loss)

50 5,615 5,686 1,874 $3,812

(39) 1,680 (1,104) (413) $(691)

Return on average equity Efficiency ratio (1)

%

$1,889

$1,528

$1,285

$1,197

831 821 2,014 (721) 2,945 4,452

584 485 4,921 (980) 5,010 6,899

150 365 (3,891) (2,717) (6,093) (4,565)

195 240 (499) (1,072) (1,136) 149

186 380 183 (568) 181 1,378

(1) 2,559 1,894 517 $1,377

51 3,056 3,792 1,357 $2,435

13 1,105 (5,683) (2,043) $(3,640)

(24) 1,120 (947) (352) $(595)

(38) 951 465 167 $298

n/m n/m

n/m n/m

9.90 69.04

n/m n/m

17.81 57.46

$7,488 2,614

$(1,142) 583

$2,685 1,165

$4,803 1,449

$(5,825) (17)

$(653) 176

$661 276

$10,102

$(559)

$3,850

$6,252

$(5,842)

$(477)

$937

Average Total trading-related assets (3) Total market-based earning assets Total earning assets Total assets Allocated equity

$520,339 482,356 493,789 692,593 29,139

$345,118 381,048 386,286 445,251 11,786

$503,688 475,761 485,151 670,703 31,022

$537,176 489,024 502,524 714,726 27,235

$315,125 311,782 317,636 390,274 15,156

$347,088 370,146 375,009 430,539 12,035

$332,748 367,193 372,510 429,854 12,088

Period end (3) Total trading-related assets Total market-based earning assets Total earning assets T t l assets Total t

$434,967 400,534 408,942 571 761 571,761

$299,828 329,394 334,700 388 451 388,451

$434,967 400,534 408,942 571 761 571,761

$440,839 381,087 392,324 583 416 583,416

$244,174 237,618 243,275 306 693 306,693

$275,703 282,475 288,107 350 326 350,326

$299,828 329,394 334,700 388 451 388,451

$204,005 137,784 69,925 108,625

$184,390 53,405 72,290 35,034

$190,524 139,358 72,078 101,728

$217,636 136,192 67,749 115,599

$167,463 53,193 42,580 51,889

$186,455 62,767 62,982 34,884

$180,540 51,257 65,741 35,210

$520,339

$345,119

$503,688

$537,176

$315,125

$347,088

$332,748

(1) Fully taxable-equivalent basis (2) Sales and trading revenue represents total Global Markets revenue, net of interest expense as adjusted by the following items: Total Global Markets revenue, net of interest expense $11,351 $537 $4,452 Investment banking income (1,306) (690) (821) Fair value option net interest income (135) (56) (70) Revenue (loss) shared 139 (350) 269 (Gain) loss on sale of prime brokerage business 53 20 Total sales and trading revenue $10,102 $(559) $3,850 (3) Includes assets which are not considered earning assets (i.e. derivative assets). n/m = not meaningful

$6,899 (485) (65) (130) 33 $6,252

Sales and trading revenue Fixed income, currency and commodities Equity income Total sales and trading revenue (2)

26.38 49.46

$1,507

%

36.26 44.30

%

Balance sheet

Trading-related assets (average) Trading account securities Reverse repurchases Securities borrowed Derivative assets (3) Total trading-related assets

Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

67

$(4,565) (365) (43) (869) $(5,842)

$149 (240) (31) (131) (224) $(477)

$1,378 (380) (25) (36) $937

%

Global Wealth & Investment Management Global Wealth & Investment Management (GWIM) provides a wide offering of customized banking, investment and brokerage services tailored to meet the changing wealth management needs of our individual and institutional customer base. Our clients have access to a range of services offered through three primary businesses (below). Core Businesses: ‐ Columbia Management Group, LLC (Columbia Management) ‐ Merrill Lynch Global Wealth Management (ML GWM) ‐ U.S. Trust, Bank of America Private Wealth Management (U.S. Trust) Features: • Supported by the Bank of America consumer franchise with over 6,100 banking centers, nearly 18,500 ATMs, and award-winning online banking with nearly 29 million active users. • Global Wealth & Investment Management strives to capture the potential presented by the Merrill Lynch acquisition by, among other things: –

Providing ML GWM capabilities to U.S. Trust and vice versa

–

Introducing Global Commercial Banking (GCB) capabilities to ML GWM clients

–

–

Offering new banking capabilities for ML GWM brokerage clients and additional ML GWM capabilities and coverage for legacy Bank of America banking and Banc of America Investment Services, Inc. Leveraging Institutional Retirement capabilities for our GCB clients, and capturing the downstream opportunities of the Institutional Retirement, Philanthropy & Investments business for U.S. Trust and ML GWM

• Columbia Management is an asset management business serving the needs of both institutional clients and individual customers. Columbia Management provides asset management products and services, including mutual funds and separate accounts. Columbia Management mutual fund offerings provide a broad array of investment strategies and products including equity, fixed income (taxable and nontaxable) and money market (taxable and nontaxable) funds funds. Columbia Management distributes its products and services to institutional clients and individuals directly through Merrill Lynch Global Wealth Management (ML GWM), U.S. Trust, Global Banking and nonproprietary channels including other brokerage firms. • Effective January 1, 2009, as a result of the Merrill Lynch acquisition, we combined the Merrill Lynch wealth management business and our former Premier Banking & Investments business to form ML GWM. ML GWM provides a high-touch client experience through a network of approximately 15,000 client-facing financial advisors to our affluent customers with a personal wealth profile of at least $250,000 of investable assets. y created one of the largest g financial advisoryy networks in the world. The addition of Merrill Lynch • U.S. Trust provides comprehensive wealth management solutions to wealthy and ultra-wealthy clients with investable assets of more than $3 million. In addition, U.S. Trust provides resources and customized solutions to help meet clients’ wealth structuring, investment management, trust and banking needs as well as specialty asset management services (oil and gas, real estate, farm and ranch, timberland, private business and tax advisory). Clients also benefit from access to resources available through Bank of America Corporation and its subsidiaries (the Corporation) including capital markets products, large and complex financing solutions, and its extensive banking platform.

68

Global Wealth & Investment Management Achievements: • 27 of Barron’s 2009 “Top 100 Financial Advisors” from Merrill Lynch, Banc of America Investment Services, Inc. (BAI) and U.S. Trust (1) • #1 in Global Top 20 by Assets Under Management (as of end of first quarter 2009) (2) • Global Wealth & Investment Management total client assets: $1.8 trillion (for the combined organization as of June 30, 2009) (3)

(1) As published in Barron’s April 20, 2009 issue (2) Scorpio Partnership Private Banking Benchmark © Scorpio Partnership, 2009. Figures are for the private banking unit of the Global Wealth and Investment Management segment. Bank of America acquired Merrill Lynch on January 1, 2009 and merged the private banking units of the two banks under the Global Wealth Management banner. The AUM figure relates to the combined operation as of the end of first quarter 2009. Reported figure includes assets for the following units: U.S. Trust, Global Wealth Advisors (mostly former Merrill Lynch non-brokerage assets), International Wealth Management and Client Brokerage Assets. (3) Source: Bank of America. America Global Wealth and Investment Management (GWIM) is the wealth and investment management division of Bank of America Corporation. As of June 30, 2009 GWIM entities had total client assets of $1.8 trillion. Total Client Assets consists of assets under management (AUM) of GWIM entities, client brokerage assets, and assets in custody of GWIM entities, less an elimination for client brokerage and assets in custody included in AUM. Global Wealth & Investment Management is a division of Bank of America Corporation. Banc of America Investment Services, Inc.®, U.S. Trust, Bank of America Private Wealth Management and Columbia Management are all affiliates within Global Wealth & Investment Management. Banking products are provided by Bank of America, N.A., Member FDIC. I Investment t t products: d t

A r e Not FDIC Insured

Ma y Lose Value

A r e Not Bank Guaranteed

Banc of America Investment Services, Inc. is a registered broker-dealer, member FINRA and SIPC, and a nonbank subsidiary of Bank of America, N.A. U.S. Trust, Bank of America Private Wealth Management operates through Bank of America, N.A. and other subsidiaries of Bank of America Corporation. Bank of America, N.A., Member FDIC. Columbia Management Group, LLC (“Columbia Management”) is the investment management division of Bank of America Corporation. Columbia Management entities furnish investment management services and products for institutional and individual investors. Columbia Funds are distributed by Columbia Management Distributors, Inc., member FINRA and SIPC. Columbia Management Distributors, Inc. is part of Columbia Management and an affiliate of Bank of America Corporation. Merrill Lynch, Pierce, Fenner & Smith Incorporated is a registered broker-dealer and a wholly owned subsidiary of Bank of America Corporation.

69

Global Wealth & Investment Management Financials - Segment Results Three months ended June 30, 2009 compared to three months ended June 30, 2008: Net income decreased $140 million to $441 million as increases in net interest income and noninterest income were more than offset by increases in noninterest expense and provision for credit losses. Net interest income increased $142 million, or 12 percent, to $1.3 billion primarily due to the acquisition of Merrill Lynch partially offset by lower residual net interest income allocation from ALM activities and the impact of the transfer of client balances during the first half of 2009 to Deposits and Home Loans & Insurance. GWIM’s average loan and deposit growth benefited from the acquisition of Merrill Lynch and organic growth partially offset by the net migration of customer relationships. Noninterest income increased $1.8 billion to $2.9 billion primarily due to higher investment and brokerage services income driven by the Merrill Lynch acquisition as well as lower support provided to certain cash funds partially offset by the impact of lower equity market levels and net outflows primarily in the cash complex. Provision for credit losses increased $119 million to $238 million as a result of increased credit costs related to the consumer real estate portfolio. Also contributing to this increase were additions to reserves and higher charge-offs in the commercial-domestic portfolio. Noninterest expense increased $2.1 billion to $3 3 billion $3.3 billi d driven i b by the h addition ddi i off M Merrill ill LLynch h and d hi higher h FDIC expenses, iincluding l di a special i l assessment. Six months ended June 30, 2009 compared to six months ended June 30, 2008: Net income increased $126 million, or 15 percent, to $951 million driven by increases of $3.5 billion in noninterest income and $779 million in net interest income partially offset by increases of $4.0 billion in noninterest expense and $130 million in provision for credit losses. These period-overperiod changes were driven by the same factors as discussed in the three-month discussion above.

(Dollars in millions millions, except as noted)

Net interest income (2) Noninterest income: Investment and brokerage services All other income (loss) Total noninterest income Total revenue, net of interest expense

Six Months Ended June 30 2009 2008

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

$2,946

$2,167

$1,291

$1,655

$1,343

4,540 1,073 5,613 8,559

2,176 (106) 2,070 4,237

2,230 675 2,905 4,196

2,310 398 2,708 4,363

880 (238) 642 1,985

1,002 (703) 299 1,564

1,095 51 1,146 2,295

Provision for credit losses N i Noninterest expense Income before income taxes

492 6,594 6 594 1,473

362 2,555 2 555 1,320

238 3,304 3 304 654

254 3,290 3 290 819

152 1,069 1 069 764

150 1,286 1 286 128

119 1,244 1 244 932

Income tax expense (2) Net income

522 $951

495 $825

213 $441

309 $510

236 $528

51 $77

351 $581

Net interest yield (2) Return on average equity

2.67 % 10.70

2.88 % 14.21

2.77 % 12.09

3.03 % 17.84

3.09 % 2.61

2.96 % 19.84

Efficiency ratio (2)

77.04

60.31

78.74

75.41

53.85

82.22

54.21

Average Total loans and leases

$106,117

$86,609

$101,748

$110,535

$88,876

$88,255

$87,574

Total earning assets (3)

222,775

151,385

203,528

242,236

176,208

162,858

156,232

Total assets (3)

258,260

161,016

238,609

278,130

184,649

172,312

165,682

Total deposits

231,853

152,808

214,111

249,792

171,340

160,999

157,113

17,918

11,673

18,708

17,119

11,767

11,677

11,775

Period end Total loans and leases

$100,878

$88,172

$100,878

$102,766

$89,401

$89,004

$88,172

Total earning assets (3)

202,287

157,334

202,287

237,739

178,240

169,582

157,334

Total assets (3)

232 913 232,913

167 197 167,197

232 913 232,913

268 133 268,133

187 994 187,994

179 346 179,346

167 197 167,197

Total deposits

206,296

158,228

206,296

241,504

175,107

166,273

158,228

$705,216 1,164,171 252,830

$589,459 210,701 156,530

$705,216 1,164,171 252,830

$697,371 1,102,633 234,361

$523,159 172,106 133,726

$564,438 196,566 150,575

$589,459 210,701 156,530

(297,869) $1,824,348

(89,234) $867,456

(297,869) $1,824,348

(279,130) $1,755,235

(78,487) $750,504

(82,921) $828,658

(89,234) $867,456

2.54 % 9.45

$1,265

Second Quarter 2008 $1,149

Balance sheet

Allocated equity

Client assets Assets under management Client brokerage assets (4) Assets in custody Less: Client brokerage assets and assets in custody included in assets under management Total net client assets

(1) GWIM services clients through three primary businesses: Merrill Lynch Global Wealth Management (MLGWM) (MLGWM), U U.S. S Trust Trust, Bank of America Private Wealth Management (U (U.S. S Trust) Trust), and Columbia Management (Columbia). (2) Fully taxable-equivalent basis (3) Total earning assets and total assets include asset allocations to match liabilities (i.e., deposits). (4) Client brokerage assets include non-discretionary brokerage and fee-based assets. Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

70

Global Wealth & Investment Management Financials - Business Results

(Dollars in millions) Six Months Ended June 30, 2009 Merrill Lynch Global Wealth Management (1, 2) U.S. Trust

Total Net interest income (4) Noninterest income: Investment and brokerage services All other income (loss) Total noninterest income Total revenue, net of interest expense

Columbia Management

Other (3)

$2,946

$2,462

$689

$22

4,540 1,073 5,613 8,559

2,968 903 3,871 6,333

648 25 673 1,362

531 (69) 462 484

393 214 607 380

Provision for credit losses Noninterest expense Income (loss) before income taxes Income tax expense (benefit) (4) Net income

492 6,594 1,473 522 $951

377 4,748 1,208 447 $761

115 994 253 94 $159

454 30 11 $19

398 (18) (30) $12

Net interest yield (4) Return on average equity

2.67 % 10.70

2.62 20.93

Efficiency ratio (4) Average - total loans and leases Average - total deposits Period end - total assets (5)

%

2.62 6.44

%

n/m 5.17

$(227)

n/m n/m

%

77.04 $106,117 231,853

74.96 $53,235 194,057

73.01 $52,867 37,768

n/m n/m n/m

n/m n/m n/m

232,913

183,907

56,738

$2,647

n/m

Six Months Ended June 30, 2008 Merrill Lynch Global Wealth Management (1, 2)

Total Net interest income (4) Noninterest income: Investment and brokerage services All other income (loss) Total noninterest income Total revenue, net of interest expense

Columbia Management

U S Trust U.S.

Other

$2,167

$1,471

$694

$(6)

$8

2,176 (106) 2,070 4,237

521 114 635 2,106

767 34 801 1,495

801 (255) 546 540

87 1 88 96

Provision for credit losses Noninterest expense Income (loss) before income taxes Income tax expense (benefit) (4) Net income (loss)

362 2,555 1 320 1,320 495 $825

352 919 835 309 $526

10 968 517 191 $326

611 (71) (26) $(45)

57 39 21 $18

Net interest yield (4)

2.88 % 14.21

2.50 % 31.39

2.82 % 14.23

n/m (17.08) %

n/m n/m

Return on average equity Efficiency ratio (4) Average - total loans and leases Average - total deposits

60.31 $86,609 152,808

43.61 $37,093 116,849

64.81 $49,491 35,557

n/m n/m n/m

n/m n/m n/m

Period end - total assets (5)

167,197

124,819

56,562

$2,819

n/m

(1) MLGWM includes the net impact of migrating customers and their related deposit balances between MLGWM and Deposits. After migration, the associated net interest income, service charges and noninterest expense are recorded in the appropriate segment. During the six months ended June 30, 2009, a total of $40.5 billion of deposits migrated to Deposits from MLGWM. During the six months ended June 30, 2008, a total of $12.7 billion of deposits migrated from Deposits to MLGWM. (2) Effective January 1, 2009, as a result of the Merrill Lynch acquisition, we combined Merrill Lynch's wealth management business and our former Premier Banking & Investment business to form MLGWM. (3) Other includes the results of the Institutional Retirement, Philanthropy & Investments business, the Corporation's approximately 50 percent economic ownership of BlackRock and other administrative items. (4) Fully taxable-equivalent basis (5) Total assets include asset allocations to match liabilities (i.e., deposits). n/m = not meaningful Certain prior period amounts have been reclassified among the segments to conform to the current period presentation. presentation

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Global Wealth & Investment Management Financials - Key Indicators (Dollars in millions, except as noted) Six Months Ended

Second

First

Fourth

Third

Second

June 30

Quarter 2009

Quarter 2009

Quarter 2008

Quarter 2008

Quarter 2008

2009 Investment and Brokerage Services Merrill Lynch Global Wealth Management Asset management fees Brokerage income Total

2008

$1,499 1,469 $2,968

$172 349 $521

$713 716 $1,429

$786 753 $1,539

$75 163 $238

$84 157 $241

$84 179 $263

U.S. Trust Asset management fees Brokerage income Total

$632 16 $648

$742 25 $767

$325 6 $331

$307 10 $317

$292 12 $304

$317 11 $328

$375 13 $388

Columbia Management Asset management fees Brokerage income Total

$530 1 $531

$799 2 $801

$270 1 $271

$260 $260

$301 $301

$394 $394

$402 1 $403

Other Asset management fees Brokerage income Total

$235 158 $393

$87 $87

$116 83 $199

$119 75 $194

$37 $37

$39 $39

$41 $41

$2,896 1,644 $4,540

$1,800 376 $2,176

$1,424 806 $2,230

$1,472 838 $2,310

$705 175 $880

$834 168 $1,002

$902 193 $1,095

$239,888 180,902 331,810

$22,404 210,969 422,827

$239,888 180,902 331,810

$219,658 179,142 340,692

$16,682 178,657 386,473

$20,246 199,682 407,345

$22,404 210,969 422,827

Total Global Wealth & Investment Management Asset management fees Brokerage income Total investment and brokerage services Assets Under Management Assets under management by business: Merrill Lynch Global Wealth Management U.S. Trust Columbia Management

45,907

39,298

45,304

33,498

39,547

45,907

Eliminations International Wealth Management Total assets under management

Institutional Retirement, Philanthropy & Investments

(86,811) 129 $705,216

39,298

(113,001) 353 $589,459

(86,811) 129 $705,216

(87,550) 125 $697,371

(92,298) 147 $523,159

(102,621) 239 $564,438

(113,001) 353 $589,459

Assets under management rollforward: Beginning balance Merrill Lynch balance, January 1, 2009 Net flows Market valuation/other Ending balance

$523,159 246,292 (70,306) 6,071 $705,216

$643,531 (18,876) (35,196) $589,459

$697,371 (27,071) 34,916 $705,216

$523,159 246,292 (43,235) (28,845) $697,371

$564,438 12,596 (53,875) $523,159

$589,459 7,477 (32,498) $564,438

$607,521 (12,611) (5,451) $589,459

Assets under management mix: Money market/other Fixed income Equity Total assets under management

$215,637 204,974 284,605 $705,216

$225,887 107,687 255,885 $589,459

$215,637 204,974 284,605 $705,216

$244,577 198,177 254,617 $697,371

$253,310 102,747 167,102 $523,159

$238,075 102,596 223,767 $564,438

$225,887 107,687 255,885 $589,459

g - domestic and foreign: g Assets under management Domestic Foreign Total assets under management

$685,492 19,724 $705,216

$589,106 353 $589,459

$685,492 19,724 $705,216

$679,927 17,444 $697,371

$523,012 147 $523,159

$564,199 239 $564,438

$589,106 353 $589,459

$1,164,171

$210,701

$1,164,171

$1,102,633

$172,106

$196,566

$210,701

15,008

1,974

15,008

15,822

2,007

1,964

1,974

$813

$1,777

$816

$811

$1,576

$1,496

$1,793

$1,321,502

$308,174

$1,321,502

$1,292,965

$290,661

$301,093

$308,174

3,968

4,608

3,968

4,015

4,473

4,467

4,608

$301,512

$357,575

$301,512

$301,151

$308,366

$344,004

$357,575

(1)

Client Brokerage Assets

(2)

Merrill Lynch Global Wealth Management Metrics Number of financial advisors Financial Advisor Productivity Total client balances

(3)

(in thousands)

(4)

U.S. Trust Metrics Client facing associates Total client balances

(4)

Columbia Management Performance Metrics # of 4 or 5 Star Funds by Morningstar % of Assets Under Management in 4 or 5 Star Rated Funds

(5)

47

50

47

49

53

53

50

46 %

64 %

46 %

49 %

62 %

64 %

64 %

(1) The elimination of assets under management that are managed by two lines of business business. (2) The January 1, 2009 acquisition of Merrill Lynch contributed $1.0 trillion to client brokerage assets. (3) Financial advisor productivity is defined as annualized total revenue (excluding residual net interest income) divided by the total number of financial advisors. The decline in Financial Advisor productivity in the first quarter 2009 compared to previous quarters results from the inclusion of Merrill Lynch financial advisors. Legacy Bank of America financial advisors historically have had higher amounts of credit and banking activity in their portfolios. (4) Client balances are defined as deposits, assets under management, client brokerage assets and other assets in custody. (5) Results shown are defined by Columbia Management’s calculation using Morningstar’s Overall Rating criteria for 4 & 5 star rating. The assets under management of the Columbia Funds that had a 4 & 5 star rating were totaled then divided by the assets under management of all the funds in the ranking. Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

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All Other (1, 2) Three months ended June 30, 2009 compared to three months ended June 30, 2008: Net income increased $531 million to $757 million driven by an increase in total revenue and a current period income tax benefit of $1.7 billion due in part to the release of a portion of a valuation allowance that was provided for an acquired capital loss carryforward, as well as other residual amounts resulting from the recognition of tax benefits during interim periods. These items were partially offset by higher provision and merger and restructuring charges. Net interest income increased $543 million resulting largely from the reclassification to card income related to our funds transfer pricing for Global Card Services’ securitizations. This reclassification is performed to present our consolidated results on a held basis. In addition, net interest income benefited from the addition of First Republic in 2009. Noninterest income increased $1.8 billion to $2.7 billion driven by the pre-tax gain of $5.3 billion on the sale of a portion of our CCB investment and gains of $672 million on sales of agency mortgage-backed securities partially offset by a decrease in all other income of $4.2 billion. The decrease in all other income was driven by the $3.6 billion negative credit valuation adjustment on certain Merrill Lynch structured notes due to our narrowing credit spreads during the three months ended June 30, 2009. In addition, we recorded other-than-temporary h h i impairments i related l d to non-agency collateralized ll li d mortgage obligations bli i off $639 million illi related l d to the h ALM d debt b securities i i portfolio f li during the three months ended June 30, 2009. Provision for credit losses increased $2.4 billion to $3.0 billion. This increase was primarily due to higher credit costs related to our ALM residential mortgage portfolio reflective of deterioration in the housing markets and the impacts of a weak economy. Additionally, reserves were increased in the Countrywide discontinued real estate and Merrill Lynch residential mortgage SOP 03-3 portfolio reflecting a reduction in expected principal cash flows. Merger and restructuring charges increased $617 million to $829 million due to the Merrill Lynch acquisition. The Merrill Lynch acquisition was accounted for under the acquisition method of accounting in accordance with SFAS 141R which requires the expensing of acquisition-related transaction and restructuring costs which were previously recorded as an adjustment to goodwill. As a result, we recorded $580 million of merger and restructuring charges during the three months ended June 30, 2009 related to the Merrill Lynch acquisition, the majority of which related to severance and employee-related charges. Six months ended June 30 30, 2009 compared to six months ended June 30 30, 2008: Net income increased to $3.7 billion driven by increases in net interest income of $848 million, noninterest income of $7.3 billion and a current period income tax benefit of $979 million partially offset by higher provision of $3.6 billion and increased merger and restructuring charges of $1.2 billion. These period-over-period changes were driven by the same factors as described above. In addition, during the first quarter of 2009 we recognized a $1.9 billion pre-tax gain on the sale of CCB shares resulting in a pre-tax gain of $7.3 billion for the six months ended June 30, 2009. Further, we recorded a positive credit valuation adjustment on certain Merrill Lynch structured notes of $2.2 billion during the first quarter of 2009 resulting in a net negative credit valuation adjustment of $1.4 billion for the six months ended June 30, 2009. (Dollars in millions)

Six Months Ended June 30 2009 2008 (3)

Net interest income Noninterest income: Card income Equity investment income (loss) Gains (losses) on sales of debt securities All other income (loss) Total noninterest income Total revenue, net of interest expense Provision for credit losses (4) Merger and restructuring charges All other noninterest expense Income (loss) before income taxes Income tax expense (benefit) (3) Net income (loss)

Second Quarter 2009

First Quarter 2009

Fourth Quarter 2008

Third Quarter 2008

Second Quarter 2008

$(3,477)

$(3,771)

$(1,588)

$(1,889)

$(1,857)

$(2,326)

$(1,913)

256 7,305 2,143 (1,706) 7,998 4,521

1,259 977 351 (349) 2,238 (1,533)

(278) 5,979 672 (4,298) 2,075 487

534 1,326 1,471 2,592 5,923 4,034

368 (388) 783 (283) 480 (1,377)

539 (327) (3) 112 321 (2,005)

596 710 131 (87) 1,350 (563)

(686) 1,594 932 2,681 (979) $3,660

(2,161) 382 253 (7) 6 $(13)

(9) 829 642 (975) (1,732) $757

(677) 765 290 3,656 753 $2,903

(613) 306 187 (1,257) (520) $(737)

(996) 247 (24) (1,232) (538) $(694)

(1,033) 212 74 184 (42) $226

Balance sheet Average T l lloans and Total d leases l Total deposits

$163,770 $163 770 108,757

$125,695 $125 695 $105,109

$159,142 $159 142 108,079

$168,450 $168 450 109,447

$145,238 $145 238 111,821

$146,303 $146 303 105,368

$117,504 $117 504 96,998

Period end Total loans and leases Total deposits

$153,008 106,127

$95,826 93,418

$153,008 106,127

$165,534 93,702

$136,160 87,520

$146,363 99,913

$95,826 93,418

(1) All Other consists of equity investment activities including Global Principal Investments, Corporate Investments and Strategic Investments, the residential mortgage portfolio associated with ALM activities, the residual impact of cost allocation processes, merger and restructuring charges, intersegment eliminations and the results of certain businesses that are expected to be or have been sold or are in the process of being liquidated. All Other also includes certain amounts associated with ALM activities, including the residual impact of funds transfer pricing allocation methodologies, amounts associated with the change in the value of derivatives used as economic hedges of interest rate and foreign exchange rate fluctuations that do not qualify for SFAS No. 133 “Accounting for Derivative instruments and Hedging Activities, as amended” hedge accounting treatment, foreign exchange rate fluctuations related to SFAS No. 52, "Foreign Currency Translation" revaluation of foreign-denominated debt issuances, certain gains (losses) on sales of whole mortgage loans, and gains (losses) on sales of debt securities. All Other also includes adjustments to noninterest income and income tax expense to remove the FTE impact of items (primarily low-income housing tax credits) that have been grossed up within noninterest income to a FTE amount in the business segments. In addition, All Other includes the offsetting securitization impact to present Global Card Services on a managed basis. (2) Effective 1/1/09, as part of the Merrill Lynch acquisition, All Other includes the results of First Republic Bank as well as fair value adjustments related to certain Merrill Lynch structured notes. (3) Fully taxable-equivalent basis (4) Provision for credit losses represents provision for credit losses in All Other combined with the Global Card Services securitization offset. Certain prior period amounts have been reclassified among the segments to conform to the current period presentation.

73

Global Principal Investments Global Principal p Investments ((GPI)) invests capital p on behalf of the company p y to enhance strategic g ggrowth opportunities and generate returns. GPI business units – BAML Capital Partners, BAML Global Strategic Capital and BAML Real Estate Principal Investments – represent a diverse range of global investing opportunities and successful partnerships with internal lines of business and clients. BAML Capital Partners BAML Capital Partners is a private equity and mezzanine capital investment group within the Global Principal p of Bank of America Merrill Lynch. y The team has more than fifteen yyears of success in Investments ggroup providing junior capital for growth financings, buyouts, acquisitions and recapitalizations. The investment team focuses on profitable middle-market and large capitalization companies with valuations from $50 million to more than $5 billion. Additional information on BAML Capital Partners can be found on their Web site at www.bankofamerica.com/bamlcp. BAML Global Strategic g Capital The BAML Global Strategic Capital (GSC) group originates, structures and executes direct equity investments, private equity fund investments and hedge fund investments that are a strategic priority for Bank of America. GSC also manages stock, warrants and other forms of equity received by Bank of America in financings, restructurings or workouts of corporate loans. The GSC organization includes Strategic Equity Investments, Environmental Investments, Strategic Fund Investments and Capital Access Funds (a fund-of-funds investor focusing on underserved markets in the United States). Additional information on Capital Access Funds can be found on their Web site at www.bacapitalaccessfunds.com. BAML Real Estate Principal Investments BAML Real Estate Principal Investments manages and/or maintains investment positions in real estate and real estate funds globally. The portfolio consists of legacy Merrill Lynch balance sheet financing as well as Real Estate Private Equity Funds.

G lobal P rincipal Investments (Dollars in millions) G lobal l b l P rincipal i i l IInvestments E x posures

B ook V alue G lobal P rincipal Investments: G lobal P rivate E quity G lobal R eal E state G lobal S trategic C apital Legacy/O ther Investments T otal G lobal P rincipal Investments

$4,289 2,486 4,360 751 $11,886

C ertain prior period amounts have been reclassified among the segments to conform to the current period presentation.

74

J une 30, 2009 U nfunded C ommitments $232 460 2,052 65 $2,809

T otal $4,521 2,946 6,412 816 $14,695

E quity Investment I Income (L oss)) J une 30, 2009 T hree S ix months months ended $399 (52) (41) (2) $304

$44 (85) (93) (28) $(162)