Bank of America NT&SA Rated "Outstanding" for Community Reinvestment Activities.LOS ANGELES--(BUSINESS WIRE)--April 9, 1998--For the fourth consecutive time, federal banking regulators have given their highest rating -- an "outstanding" -- to Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. NT&SA for its success in meeting the credit needs of low-income communities. Bank of America today released its performance evaluation Performance evaluation The assessment of a manager's results, which involves, first, determining whether the money manager added value by outperforming the established benchmark (performance measurement) and, second, determining how the money manager achieved the calculated return by the Office of the Comptroller of the Currency The Office of the Comptroller of the Currency (or OCC) was established by the National Currency Act of 1863 and serves to charter, regulate, and supervise all national banks and the federal branches and agencies of foreign banks in the United States. (OCC OCC See: Options Clearing Corporation OCC See Options Clearing Corporation (OCC). ), one of several regulatory agencies that evaluate bank compliance with the 1977 Community Reinvestment Act Community Reinvestment Act (CRA) Enacted by Congress in 1977, the CRA encourages banks to help meet the credit needs of their communities for housing and other purposes, particularly in neighborhoods with low or moderate incomes, while maintaining safe and sound operations. (CRA See Community Reinvestment Act. ). BofA received its last evaluation in May, 1995. The OCC's current report evaluates the bank's performance from January 1996 through June 1997. Declaring that BofA "continues to demonstrate its commitment to lending, investing and servicing all segments of the states in which it does business," the OCC commended the bank's record of providing "an excellent level of all types of credit to low- and moderate-income applicants." The regulatory agency reports that BofA made 363,000 loans for almost $3 billion to low- and moderate-income borrowers. It also credits the bank for making 265 community development loans worth nearly $462 million. In addition to its lending performance, the bank invested $406.7 million "for the capitalization of loan pools, community development corporations, syndicated community development participations, government subsidized programs, municipal securities financing affordable housing, tax credits and the support of nonprofit developers, social services social services Noun, pl welfare services provided by local authorities or a state agency for people with particular social needs social services npl → servicios mpl sociales , and support groups." Finally, the bank received high marks for an extensive branch and ATM network that helps meet the financial needs of its entire service area, and for its expanding telephone and personal computer delivery capabilities. "Coming on the heels of a rigorous six-month evaluation process, the OCC report confirms our determination to build economic opportunity," said Donald A. Mullane, Bank of America's executive vice president of corporate community development. "By increasing production levels, expanding delivery capabilities and effectively managing risk, we continue to find profitable ways to meet the credit needs of underserved communities." Bank of America this year became one of the first major commercial banks to meet a new set of more stringent CRA evaluation criteria. Legislation enacted in 1997 reduces from 12 to three the number of criteria used to determine a bank's CRA performance. The three criteria are lending, investing and service. All regulated financial institutions receive one of four ratings: "outstanding," "satisfactory," "needs to improve" or "substantial non-compliance." The Comptroller's Office gave its highest CRA rating not only to Bank of America NT&SA, but also to the bank's operations in California, Washington and the Portland/Vancouver metropolitan service area. Together, these three territories account for over 80 percent of BofA's U.S. lending activities. The bank received "satisfactory" ratings in Alaska, Arizona, Idaho, Illinois, Nevada, New Mexico New Mexico, state in the SW United States. At its northwestern corner are the so-called Four Corners, where Colorado, New Mexico, Arizona, and Utah meet at right angles; New Mexico is also bordered by Oklahoma (NE), Texas (E, S), and Mexico (S). , New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , Oregon, and the Las Vegas Las Vegas (läs vā`gəs), city (1990 pop. 258,295), seat of Clark co., S Nev.; inc. 1911. It is the largest city in Nevada and the center of one of the fastest-growing urban areas in the United States. metropolitan service area. "We're very proud of our people and their performance," Mullane said. "We'll continue to work hard in the states where Bank of America has a well-established commercial banking network, and we'll work even harder in those states where our community development efforts are only now starting to take hold." In 1997, the bank's parent company -- BankAmerica Corp. -- pledged $140 billion over 10 years for loans to small business owners and lower-income borrowers across the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . It is the biggest community lending commitment ever made. CONTACT: Bank of America National Issues: Cary Walker, 213/228-2558 or Arizona Issues: Dave Howell, 602/594-6506 |
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