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February 3, 2010 Wednesday 16:24 PM EST
SECTION: NEWS & ANALYSIS; Financial Services
LENGTH: 184 words
HEADLINE: Bank of America OKs $4B in Bonuses: Report
BYLINE: Lauren LaCapra, TheStreet.com Staff Reporter
CHARLOTTE, N.C. (TheStreet) — Bank of America (BAC:NYSE) has reportedly approved more than $4 billion in bonuses for investment bankers and traders. The payouts represent about 19% of the $23 billion in revenue generated by those businesses in 2009, an anonymous source told the Wall Street Journal.Pay has become a touchy subject in the financial industry as firms have returned to profitability on the back of taxpayer bailouts. Big banks like B of A, Goldman Sachs (GS:NYSE), Citigroup (C:NYSE), JPMorgan Chase (JPM:NYSE), Morgan Stanley (MS:NYSE), which all returned their TARP dollars, have had to answer heated questions about pay packages, as have still-struggling firms like American International Group (AIG:NYSE), Fannie Mae (FNM:NYSE) and Freddie Mac (FRE:NYSE).On Tuesday, Bank of America disclosed that its CEO Brian Moynihan would get a $150,000 raise this year, not including stock awards and potential bonuses, and two other top executives received 60% salary increases.Bank of America shares finished Wednesday’s session down 7 cents at $15.53.— Written by Lauren Tara LaCapra in New York.
LOAD-DATE: February 4, 2010