Bank of America 2004 Annual Report Download - page 134

BANK OF AMERICA 2004 133
We will continue to repurchase shares, from time to time, in the open
market or in private transactions through our previously approved
repurchase plans.
At December 31, 2004, the Corporation had no shares issued
and outstanding of ESOP Convertible Preferred Stock, Series C (ESOP
Preferred Stock). ESOP Preferred Stock in the amounts of $54 mil-
lion, $4 million and $7 million for 2004, 2003 and 2002, respec-
tively, was converted into the Corporation’s common stock at a ratio
of 3.36 shares of the Corporation’s common stock.
At December 31, 2004, the Corporation had 690,000 shares
authorized and 382,450 shares, or $95 million, outstanding of Bank
of America 6.75% Perpetual Preferred Stock with a stated value of
$250 per share. Ownership is held in the form of depositary shares
paying dividends quarterly at an annual rate of 6.75 percent. On or
after April 15, 2006, the Corporation may redeem Bank of America
6.75% Perpetual Preferred Stock, in whole or in part, at its option, at
$250 per share, plus accrued and unpaid dividends.
The Corporation also had 805,000 shares authorized and
700,000 shares, or $175 million, outstanding of Bank of America
Fixed/Adjustable Rate Cumulative Preferred Stock with a stated value
of $250 per share. Ownership is held in the form of depositary
shares paying dividends quarterly at an annual rate of 6.60 percent
through April 1, 2006. After April 1, 2006, the rate will adjust based
on a U.S. Treasury security plus 50 bps. On or after April 1, 2006, the
Corporation may redeem Bank of America Fixed/Adjustable Rate
Cumulative Preferred Stock, in whole or in part, at its option, at $250
per share, plus accrued and unpaid dividends.
In addition to the preferred stock described above, the
Corporation had 35,045 shares authorized and 7,739 shares, or
$1 million, outstanding of the Series B Preferred Stock with a stated
value of $100 per share paying dividends quarterly at an annual rate
of 7.00 percent. The Corporation may redeem the Series B Preferred
Stock, in whole or in part, at its option, at $100 per share, plus
accrued and unpaid dividends.
All preferred stock outstanding has preference over our common
stock with respect to the payment of dividends and distribution of our
assets in the event of a liquidation or dissolution. Except in certain
circumstances, the holders of preferred stock have no voting rights.
The following table presents the changes in Accumulated OCI for 2004 and 2003.
2004 2003
Income Tax Income Tax
Pre-tax Expense After-tax Pre-tax Expense After-tax
(Dollars in millions) Amount (Benefit) Amount Amount (Benefit) Amount
Balance, January 1 $ (3,242) $ (1,094) $ (2,148) $ 1,944 $ 712 $ 1,232
Net unrealized gains (losses)(1) 1,691 547 1,144 (3,774) (1,314) (2,460)
Less: Net realized gains recorded to net income 2,513 930 1,583 1,412 492 920
Balance, December 31 $ (4,064) $ (1,477) $ (2,587) $(3,242) $(1,094) $(2,148)
(1) Net unrealized gains (losses) include the valuation changes of AFS debt and marketable equity securities, foreign currency translation adjustments, derivatives, and other.