Commentary

Anne Finucane, Bank of America, on Acquisitions

Finucane spoke via pre-produced video about how, when she'd initially planned the trip to ANA months ago, "Nothing short of a global economic crisis could have kept me away."  A video followed that review just how that crisis happened, complete with news reels of the obligatory weeping stock trader, hands grasping forehead in disbelief (do they use the same actor for this shot? I want that job) and house "for sale" signs sagging forlornly on front lawns.

She said the acquisition of Countrywide is about long-term growth.   "After the acquisition we didn't advertise," she said.  "We instead met with non-profits, and we used testimony to articulate the role we were committed to paying in mortgage industry.  We will marketing heavily in months to come."

She said  that Bank of America is actually weathering the storm pretty well.   "We recently reported quarterly earnings over a billion dollars, when many financial services are trying to survive. In this environment -- as one of those banks with broad shoulders  -- Bank of America  has been able to take advantage of critical growth opportunities."

Funicane said B-of-A,  as the number-one consumer bank,  has the flexibility because of size and market capitalization,  "To make bold, opportunistic acquisitions like  Countrywide and Merrill Lynch."  She allowed that the former will present some branding challenges in the short term.

She also  talked about how the company is furthering its "Bank of Opportunity" branding, current market conditions not withstanding.  "Opportunity resonates as one of most compelling ideas in America.  The promise inherent in the Bank of Opportunity platform is straightforward and instead  of messages alone we focus on action. Consumers -- at all times -- are looking for simple and relevant brand promises.

An example: the "Keep the change" program by which consumers who use Bank of America credit or debit cards earn money toward savings when purchases via B-of-A cards are rounded up.

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