NEW YORK (AFP) - shareholders and clients in ready home ran moque totally on the management of Bank of America Wednesday, as its Chief Executive, has said that he was still struggling with its mortgage portfolio in a deeply troubled housing market.
"We are much stronger than last year's business," CEO Brian Moynihan said the shareholder of U.S. banks largest meeting in Charlotte, North Carolina.
"We have reduced the risk in our company, constructed capital and updated many issues legacy behind us." We have a franchise that is pushing forward with the recovery, winning with its market share high and aggressive to manage and identify the challenges faces mortgage. ?
But, investors, upset over two years of a low price part and a nude of a cent the stock dividend for last year, brought in during their performance management and pay.
"This dividend is not yet a value of the cheque cashing," said one, saying that the value of the shares of the company had fallen 75 per cent of its peaks.
"How did you entrails to accept any bonus.
Michael Garland, representing the Fund of the city of New York, called their efforts on the issues of the mortgage "insufficient".
After its proposal for an independent review of the manner in which the Bank manages the seizures, he dazzled management:
"If this is the way you treat shareholders who hold your company $ 1.3 billion, I can only imagine how you treat your customers of the mortgage," he said.
BoA and other major banks were sued by a group of States for mistreating mortgage borrowers and, accordingly, some of the social burden of seizures of home goods and leaving the States.
The Wall Street Journal said Wednesday that banks have offered to pay the States $ 5 billion to settle complaints, far below $ 20 billion was required.
The States also want banks to reduce loans mortgage-holders many balances.
BoA management acknowledged problems in its home lending operations.
"All our businesses have been profitable in the first quarter except the mortgage business," said Moynihan.
He called the "the last issue of the financial crisis" depressed housing sector of the Bank.
"We recognize the need for continuing the loan modification program," he said.
He said also the Bank will pay a dividend "as soon as obtain us the approval of"-a reference to the refusal of federal regulators to allow banks to make payments while their balance sheets remain weak.
"When we are confident that the work is done... we will ask our regulatory agencies," said Moynihan.
"We are behind some of the things we wanted to achieve," admitted the BoA President Charles Holliday.
"But... we will solve the problem...". We will rebuild, "he says.
No comments:
Post a Comment