Bank Of America Resubmits Capital Plan Following Error
Bank of America (NYSE: BAC) announced Tuesday that it has resubmitted its capital plan after disclosing a $4 billion capital error a month earlier.
The error had caused the company to suspend its plan to return capital to its shareholders through an increased dividend and a share repurchase.
Though the company has not revealed specific details of the plan, it has been confirmed that the new plan will be smaller than the previous one, which included a dividend increase from $0.01 to $0.05 and $4 billion repurchase authorization.
The company has also said that the revisions will not significantly affect the reported capital ratios and that any reductions will be less than one basis point.
Shares of Bank of America are trading up approximately two percent in the pre-market session following the announcement.
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