Bank of America Approves Preferred Stock Dividends for Q4 2024

Bank of America Announces Cash Dividends for Preferred Stock

Bank of America Corporation recently disclosed that its Board of Directors has approved regular cash dividends on the outstanding shares and depositary shares of specific series of preferred stock. This important announcement reflects the company’s commitment to returning value to its shareholders while ensuring a solid financial foundation.

Details on Dividend Payments

Dividends are a significant aspect for investors, and Bank of America is dedicated to maintaining a consistent dividend policy. Below are the key details regarding the dividends that will be provided:

Series of Preferred Stock and Dividends

Several series of preferred stock have been authorized for payment, including:

• 7.25% Non-Cumulative Perpetual Convertible Preferred Stock, Series L
• Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series Z
• 5.875% Non-Cumulative Preferred Stock, Series HH
• 4.375% Non-Cumulative Preferred Stock, Series NN
• 4.125% Non-Cumulative Preferred Stock, Series PP
• 4.375% Fixed-Rate Reset Non-Cumulative Preferred Stock, Series RR
• 6.125% Fixed-Rate Reset Non-Cumulative Preferred Stock, Series TT

Each of these series will have specific dividend amounts, record dates, and payment dates. For instance, the 7.25% Series L will have a dividend of $18.125, with a record date of October 1 and a payment date of October 30.

Understanding Preferred Stock Dividends

Preferred stock provides a level of financial security to investors, as the rated dividends are typically fulfilled before common stock dividends. One of the unique aspects of Bank of America’s preferred stock dividends is the fixed rate and how they offer predictable income streams to investors. Most of the preferred shares listed will be paid out quarterly, while some, such as Series Z, are paid semi-annually.

Impact on Investors and Market Sentiment

The declaration of these preferred stock dividends has a profound effect on investor confidence in Bank of America. Investors generally view stable or increasing dividends favorably as it reflects overall company health and financial stability. This move could be seen as a positive signal that Bank of America continues to thrive in the competitive financial landscape.

About Bank of America Corporation

Bank of America is one of the world’s leading financial institutions, offering a comprehensive range of banking, investing, asset management, and other financial services to individual consumers, businesses, and large corporations globally. The firm provides unmatched convenience across multiple platforms and maintains a robust digital presence, catering to approximately 69 million clients through numerous retail financial centers and ATMs.

In addition to retail services, Bank of America is recognized as a major player in wealth management and corporate and investment banking, serving a multitude of sectors worldwide. The company's dedication to small business solutions ensures they remain a vital resource for entrepreneurial growth through innovative online services and support.

Investors Can Stay Informed

Bank of America encourages its investors to stay updated with the latest dividend announcements and company news through their official channels. Details regarding upcoming dividend announcements can provide insightful perspectives for investors seeking to make informed decisions.

For further inquiries or updates, investors may contact Lee McEntire or Jonathan G. Blum at Bank of America, as key representatives ready to provide information regarding financial matters.

Frequently Asked Questions

1. What are preferred stock dividends?

Preferred stock dividends are payments made to shareholders of preferred stocks typically providing a fixed income level, paid out before common stock dividends.

2. How often does Bank of America pay preferred dividends?

Bank of America usually pays dividends quarterly for most preferred stock, with some exceptions like Series Z, which pays semi-annually.

3. What is the significance of preferred dividends for investors?

Preferred dividends signify a company's financial health, providing consistent returns and security to investors focused on income over growth.

4. What does it mean for Bank of America to declare dividends?

The declaration showcases Bank of America’s commitment to rewarding shareholders, reflecting its stable financial position and desire to maintain good investor relations.

5. How can investors get information about dividend payments?

Investors can refer to Bank of America's official news channels and contact their investor relations representatives for detailed updates on dividends and corporate matters.

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