Page 4 - Bank of America E Case Study

Bank of America

“As of April 16, 2018, we operated in all 50
states, the District of Columbia, the U.S.
Virgin Islands, Puerto Rico and more than
35 countries. Our retail banking footprint
covers approximately 80 percent of the
U.S. population, and we serve
approximately 47 million consumer and
small business relationships with
approximately 4,500 retail financial centers,
approximately 16,000 ATMs, and leading
online and mobile banking platforms with
approximately 36 million active accounts
and more than 25 million mobile active users.”(16)

Bank of America (BofA) took full advantage of the U.S.
housing boom, with its share price doubling between

2001 and 2007 as profits rocketed.

The financial crisis

however, sent the

global banking

industry to the brink

of disaster and BofA

suffered more than
most. In 2005 it

acquired credit card giant MBNA for $35 billion in cash

and stock, in an ill-timed acquisition which cost the bank

heavily as it ended up having to write off between $20

billion and $30 billion in credit card loans each year from

2008 to 2010. (13)