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Bank of America Second Quarter Earnings Per Share Rose 8 Percent

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Supplemental second quarter 2007 financial information

Businesses Generate Solid Revenue Growth Across Customer Segments

CHARLOTTE, N.C., July 19 /PRNewswire/ -- Bank of America Corporation today reported second quarter net income rose 5 percent to $5.76 billion from $5.48 billion a year earlier. Diluted earnings per share increased 8 percent to $1.28 from $1.19. Return on average common shareholders' equity was 17.55 percent.

(Logo: http://www.newscom.com/cgi-bin/prnh/20050720/CLW086LOGO-b )

All three business segments recorded revenue increases. Results were mainly driven by continued healthy capital markets activity as well as good consumer noninterest income growth.

"Bank of America, with its diverse business model, was able to continue attractive earnings growth despite challenging headwinds," said Chairman and Chief Executive Officer Kenneth D. Lewis. "Our businesses are doing a good job of attracting new customers and expanding our relationships with existing clients. Our investments in a number of businesses such as capital markets, mortgage and services for the affluent, in addition to the equity investment gains produced in the current environment, are generating results that more than offset spread compression impacting virtually all of our businesses and the trend toward more normalized credit costs."

Second Quarter 2007 Highlights (vs. a year earlier)

-- Investment banking income rose 26 percent. The company gained market share in mergers and acquisitions as Bank of America continues to build its platform.

-- Total sales of retail products rose 8 percent, generated by strong growth in sales of first mortgages, checking and savings accounts, credit cards and online banking activations. Net new retail checking accounts rose by 717,000.

-- Strong originations of first mortgages were boosted by the successful launch of No Fee Mortgage PLUS which accounted for 11 percent of first mortgage production in the second quarter. In addition, the company closed in late June on the purchase of Reverse Mortgage of America, which will significantly increase Bank of America's offerings of reverse mortgages to seniors.

-- Keep the Change(TM) passed the 5 million mark of customers who have saved more than $500 million since the inception of this innovative program.

-- Total unit sales to small businesses with less than 2.5 million in annual sales rose 41 percent, while average deposits grew 5 percent. Expanding relationships with small businesses is a key strategic priority.

-- Total assets under management (AUM) in Global Wealth and Investment Management increased 13 percent to more than $566 billion. More than half of the increase represented net new investment inflows by clients. On a 3-year AUM weighted basis, 93 percent of Columbia's equity funds were in the top 2 performance quartiles compared with their peer group. (1)

-- Premier Banking households using both bank and investment services rose 9 percent, reflecting the company's strategy to meet more of the financial needs of these clients.

(1) Results shown are defined by Columbia Management's calculation of its percentage of assets under management in the top two quartiles of categories based on Morningstar as of May 31, 2007. The category percentile rank was calculated by ranking the three year net return of share classes within the categories. The assets of the number of funds within the top 2 quartile results were added and then divided by Columbia Management's total assets under management. Past performance is no guarantee of future results. The share class earning the ranking may have limited eligibility and may not be available to all investors.

Second Quarter 2007 Financial Summary

Revenue

Revenue net of interest expense on a fully taxable-equivalent basis increased 8 percent to $19.96 billion from $18.52 billion in the second quarter of 2006.

Noninterest income rose 17 percent to $11.18 billion from $9.59 billion in the second quarter of 2006, driven by increases in equity investment gains, other income, investment banking and service charges. Equity investment gains included a $600 million gain related to the sale of private equity funds to Conversus Capital, an investment partnership, as well as higher dividends from strategic investments.

Net interest income on a managed basis increased 1 percent to $10.73 billion compared with the year-ago quarter. Net interest income on a held basis declined 3 percent to $8.39 billion from $8.63 billion a year earlier. The net interest margin decreased 26 basis points to 2.59 percent.

Efficiency

The efficiency ratio on a fully taxable-equivalent basis was 45.56 percent for the second quarter of 2007. Noninterest expense increased 4 percent to $9.09 billion from $8.72 billion a year earlier. Expenses rose mainly because of higher incentive compensation and other personnel expenses, reflecting investment in various business platforms and an increase in litigation reserves. Higher expenses were somewhat offset by lower pretax merger and restructuring charges of $75 million compared with $194 million a year earlier.

Credit Quality

Overall credit quality remained sound, but continues to move toward more normalized levels. Compared with the second quarter of 2006, net charge-offs increased primarily reflecting seasoning and a trend toward more normalized loss levels in the consumer and small business portfolios as well as lower commercial recoveries. Provision expense in the second quarter rose from a year ago due to higher net charge-offs as well as increased reserves for portfolio seasoning and higher loss expectations in the small business and home equity portfolios reflecting the growth of these businesses.

-- Net charge-offs were $1.50 billion, or 0.81 percent of total average loans and leases compared with $1.43 billion, or 0.81 percent, in the first quarter. In the year-ago quarter net charge offs were $1.02 billion, or 0.65 percent.

-- Provision for credit losses was $1.81 billion, up from $1.24 billion in the first quarter and $1.01 billion in the second quarter of 2006.

-- Total managed net losses were $2.77 billion, or 1.30 percent of total average managed loans and leases, compared with $2.57 billion, or 1.26 percent, in the first quarter and $1.81 billion, or 0.98 percent, in the second quarter of 2006.

-- Nonperforming assets were $2.39 billion, or 0.32 percent of total loans, leases and foreclosed properties, at June 30. This compared with $2.06 billion, or 0.29 percent, at March 31 and $1.64 billion, or 0.25 percent, at June 30, 2006.

-- The allowance for loan and lease losses was $9.06 billion, or 1.20 percent of total loans and leases, at June 30 compared with $8.73 billion, or 1.21 percent at March 31 and $9.08 billion, or 1.36 percent, at June 30, 2006.

Capital Management

Total shareholders' equity was $135.75 billion at June 30. Period-end assets were $1.5 trillion. The Tier 1 capital ratio was 8.52 percent, down from 8.57 percent at March 31 and up from 8.33 percent a year ago.

During the quarter, Bank of America paid a cash dividend of $0.56 per share. The company also issued 11.3 million common shares related to employee stock options and ownership plans and repurchased 13.5 million common shares. Period-ending common shares issued and outstanding were 4.44 billion for the second quarter of 2007, compared with 4.44 billion for the first quarter and 4.53 billion for the second quarter of 2006.



    Second Quarter 2007 Business Segment Results

    Global Consumer and Small Business Banking(1)

    (Dollars in millions)                            Q2 2007         Q2 2006

    Total revenue, net of interest expense(2)        $11,939         $11,377

    Provision for credit losses(3)                     3,094           1,807
    Noninterest expense                                4,969           4,508

    Net income                                         2,459           3,204

    Efficiency ratio                                   41.62%          39.62%
    Return on average equity                           15.80           20.14

    Average managed loans and leases                $317,246        $282,390
    Average deposits                                 326,741         336,105

    (1) Managed basis.  Managed basis assumes that loans that have been
        securitized were not sold and presents earnings on these loans in a
        manner similar to the way loans that have not been sold (i.e., held
        loans) are presented.  For more information and a detailed
        reconciliation, please refer to the data pages supplied with this
        Press Release.
    (2) Fully taxable-equivalent basis
    (3) Represents the provision for credit losses on held loans combined with
        realized credit losses associated with the securitized loan portfolio.

Net revenue rose 5 percent as higher card income, service charges and mortgage banking income contributed to a 9 percent increase in noninterest income. Net income decreased 23 percent from a year ago as managed credit costs rose because of portfolio seasoning, growth in the businesses and the trend toward more normalized levels.

Growth from innovative products like Keep the Change (TM), $0 Online Equity Trades and No Fee Mortgage PLUS generated increased customer activity.

    -- Deposits net revenue increased 5 percent to $4.40 billion and net
       income increased 3 percent to $1.33 billion. Consumer deposit growth
       (excluding the impact of balance migration to Premier Banking and
       Investments) of 1 percent was driven by account growth, especially in
       promotional and Risk Free CD(TM) products.
    -- Card Services managed net revenue rose 2 percent to $6.43 billion while
       net income declined 44 percent to $961 million as credit costs
       increased.
    -- Consumer Real Estate, which includes the home equity and mortgage
       businesses, had $856 million in net revenue up 22 percent. Net income
       decreased 18 percent to $141 million because of higher provision
       expense from increased loss expectations in the home equity portfolio
       reflecting the growth of this business.



    Global Corporate and Investment Banking

    (Dollars in millions)                            Q2 2007         Q2 2006

    Total revenue, net of interest expense(1)         $5,814          $5,315

    Provision for credit losses                           41              22
    Noninterest expense                                3,135           2,764

    Net income                                         1,670           1,595

    Efficiency ratio                                   53.91%          52.01%
    Return on average equity                           16.15           15.09

    Average loans and leases                        $253,895        $231,073

    Average trading-related assets                   377,171         330,816
    Average deposits
                                                     220,063         193,620

    (1) Fully taxable-equivalent basis

Net revenue rose 9 percent as debt underwriting and advisory fees helped increase noninterest income by 11 percent. Net income increased 5 percent.

The revenue increase was driven by Capital Markets and Advisory Services as investments in personnel and trading infrastructure continued to produce strong results. Investment banking revenue rose 27 percent from the second quarter of 2006, as increased market activity and deal flow continued to produce higher debt underwriting and advisory fees.

    Provision expense rose $19 million because of lower commercial recoveries.
    -- Business Lending net revenue and net income were flat at $1.50 billion
       and $589 million, respectively, as good loan growth and fee generation
       offset continued spread compression.
    -- Capital Markets and Advisory Services net revenue increased 23 percent
       to $2.66 billion on strong investment banking fees and sales and
       trading revenue. Net income rose 32 percent.
    -- Treasury Services net revenue was relatively unchanged at $1.69
       billion, reflecting higher card income and strong average deposit
       growth of $5.93 billion, offset by a continued customer shift from non-
       interest-bearing to interest-bearing deposits. Net income declined 3
       percent reflecting continued investment in upgrading our payments
       platform.



    Global Wealth and Investment Management

    (Dollars in millions)                             Q2 2007        Q2 2006

    Total revenue, net of interest expense(1)          $2,008         $1,853

    Provision for credit losses                          (14)            (40)
    Noninterest expense                                1,044             971

    Net income                                           619             582

    Efficiency ratio                                   51.97%          52.40%
    Return on average equity                           25.06           24.59

    Average loans and leases                         $67,964         $59,803
    Average deposits                                 118,255         101,251

    (in billions)                                  At 6/30/07     At 6/30/06
    Assets under management                           $566.2          $500.1

    (1) Fully taxable-equivalent basis

Net revenue increased 8 percent as higher customer activity and improved client asset flows resulted in a 13 percent increase in noninterest income. Net interest income rose 4 percent as loans increased 14 percent and deposits increased 7 percent (excluding balance migration from Global Consumer and Small Business Banking) offset by spread compression. Net income increased 6 percent.

Asset management fees increased 13 percent from the second quarter of 2006 as net asset inflows of $34.33 billion and $31.79 billion of market value growth produced higher assets under management.

    -- Premier Banking and Investments net revenue rose 8 percent to $941
       million on record results in investment and brokerage services, up 24
       percent from a year ago. Net income increased 6 percent to $331
       million.
    -- The Private Bank had net revenue of $486 million, unchanged compared
       with a year earlier. Net income declined 18 percent to $125 million
       reflecting the impact of lower provision benefit and increased spread
       compression.
    -- Columbia Management net revenue rose 25 percent to $471 million
       supported by strong client inflows and increased market values. Net
       income increased 48 percent to $120 million.

    All Other(1)

    (Dollars in millions)                              Q2 2007       Q2 2006
    Total revenue, net of interest
    expense(2)                                            $197          $(30)

    Provision for credit losses(3)                      (1,311)         (784)
    Noninterest expense                                    (55)          474

    Net income                                           1,013            94

    Average loans and leases                          $101,094       $62,383

    (1) All Other consists primarily of equity investments, the residual
        impact of the allowance for credit losses and the cost allocation
        processes, Merger and Restructuring Charges, intersegment
        eliminations, and the results of certain consumer finance and
        commercial lending businesses that are being liquidated. All Other
        also includes the offsetting securitization impact to present Global
        Consumer and Small Business Banking on a managed basis.  For more
        information and a detailed reconciliation, please refer to the data
        pages supplied with this Press Release.
    (2) Fully taxable-equivalent basis
    (3) Represents the provision for credit losses in All Other combined with
        the Global Consumer and Small Business Banking securitization offset.

All Other net income rose to $1.01 billion from $94 million a year earlier. Equity investment gains were $1.72 billion, up from $577 million. This was driven by an increase of $833 million in principal investing gains primarily related to the Conversus transaction and from a more than $200 million increase in income from strategic investments. Noninterest expense declined because of lower costs related to the sale of certain businesses and declining merger and restructuring charges.

Note: Chief Executive Officer Kenneth D. Lewis and Joe L. Price, chief financial officer, will discuss second quarter 2007 results in a conference call at 9:30 a.m. (Eastern Time) today. The call can be accessed via a Webcast available on the Bank of America Investor Relations Web site at http://investor.bankofamerica.com.

Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small and middle market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk-management products and services. The company provides unmatched convenience in the United States, serving 57 million consumer and small business relationships with more than 5,700 retail banking offices, more than 17,000 ATMs and award-winning online banking with more than 22 million active users. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. The company serves clients in 175 countries and has relationships with 98 percent of the U.S. Fortune 500 companies and 80 percent of the Fortune Global 500. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

Forward-Looking Statements

This press release contains forward-looking statements, including statements about the financial conditions, results of operations and earnings outlook of Bank of America Corporation. The forward-looking statements involve certain risks and uncertainties. Factors that may cause actual results or earnings to differ materially from such forward-looking statements include, among others, the following: 1) projected business increases following process changes and other investments are lower than expected; 2) competitive pressure among financial services companies increases significantly; 3) general economic conditions are less favorable than expected; 4) political conditions including the threat of future terrorist activity and related actions by the United States abroad may adversely affect the company's businesses and economic conditions as a whole; 5) changes in the interest rate environment reduce interest margins and impact funding sources; 6) changes in foreign exchange rates increases exposure; 7) changes in market rates and prices may adversely impact the value of financial products; 8) legislation or regulatory environments, requirements or changes adversely affect the businesses in which the company is engaged; 9) changes in accounting standards, rules or interpretations, 10) litigation liabilities, including costs, expenses, settlements and judgments, may adversely affect the company or its businesses; 11) mergers and acquisitions and their integration into the company; and 12) decisions to downsize, sell or close units or otherwise change the business mix of any of the company. For further information regarding Bank of America Corporation, please read the Bank of America reports filed with the SEC and available at www.sec.gov.

Please consider the investment objectives, risks, charges and expenses of Columbia mutual funds carefully before investing. Contact your financial advisor for a prospectus which contains this and other important information about the fund. Read it carefully before you invest.

Columbia Management is the primary investment management division of Bank of America Corporation. Columbia Management entities furnish investment management services and advise institutional and mutual fund portfolios. Columbia Funds are distributed by Columbia Management Distributors, Inc.,

member NASD, SIPC. Columbia Management Distributors, Inc. is part of Columbia Management and an affiliate of Bank of America Corporation.

                            www.bankofamerica.com


    Bank of America Corporation
    Selected Financial Data
    (Dollars in millions, except per share data; shares in thousands)

    Summary Income
     Statement           Three Months Ended June 30 Six Months Ended June 30
                              2007         2006         2007         2006

    Net interest income       8,386        8,630       16,654       17,406
    Total noninterest
     income                  11,177        9,589       21,064       18,504
    Total revenue, net of
     interest expense        19,563       18,219       37,718       35,910
    Provision for credit
     losses                   1,810        1,005        3,045        2,275
    Other noninterest
     expense                  9,018        8,523       18,004       17,349
    Merger and
     restructuring
     charges                     75          194          186          292
    Income before income
     taxes                    8,660        8,497       16,483       15,994
    Income tax expense        2,899        3,022        5,467        5,533
    Net income               $5,761       $5,475      $11,016      $10,461

    Earnings per common
     share                     1.29         1.21         2.47         2.29
    Diluted earnings per
     common share              1.28         1.19         2.44         2.25


    Summary Average
     Balance Sheet      Three Months Ended June 30 Six Months Ended June 30
                             2007         2006         2007         2006

    Total loans and
     leases                $740,199     $635,649     $727,193     $625,863
    Debt securities         177,834      236,968      182,142      235,793
    Total earning assets  1,358,199    1,253,895    1,340,172    1,236,848
    Total assets          1,561,649    1,456,004    1,541,644    1,436,298
    Total deposits          697,035      674,796      691,898      667,350
    Shareholders' equity    133,551      127,373      133,569      129,253
    Common shareholders'
     equity                 130,700      127,102      130,718      128,981


    Performance Ratios  Three Months Ended June 30 Six Months Ended June 30
                             2007          2006        2007          2006

    Return on average
     assets                    1.48 %       1.51 %       1.44 %       1.47 %
    Return on average
     common shareholders'
     equity                   17.55        17.26        16.86        16.34
    Net interest yield         2.59         2.85         2.60  %      2.91


    Credit Quality      Three Months Ended June 30 Six Months Ended June 30
                            2007            2006      2007            2006

    Net charge-offs          $1,495       $1,023       $2,922       $1,845
    Annualized net
     charge-offs as a %
     of average loans and
     leases outstanding (1)    0.81 %       0.65 %       0.81 %       0.59  %
    Provision for credit
     losses                  $1,810       $1,005       $3,045       $2,275
    Managed credit card
     net losses               2,099        1,474        4,052        2,720
    Managed credit card
     net losses as a % of
     average managed
     credit card
     receivables               5.02 %       3.67 %       4.88 %       3.39  %

                                   June 30
                              2007         2006

    Nonperforming assets     $2,392       $1,641
    Non performing assets
     as a % of total
     loans, leases and
     foreclosed
     properties (1)            0.32 %       0.25 %
    Allowance for loan
     and lease losses        $9,060       $9,080
    Allowance for loan
     and lease losses as
     a % of total loans
     and leases (1)            1.20 %       1.36 %


    Capital Management             June 30
                              2007         2006
    Risk-based capital
     ratios:
    Tier 1                    8.52% *      8.33%
    Total                     12.11 *      11.25
    Tier 1 leverage ratio      6.33 *       6.13

    Period-end common
     shares issued and
     outstanding (in
     thousands)           4,436,936    4,527,941

                        Three Months Ended June 30 Six Months Ended June 30
                              2007         2006         2007         2006

    Shares issued            11,316       29,673       40,235       68,608 (2)
    Shares repurchased       13,450       83,050       61,450      171,500
    Average common shares
     issued and
     outstanding          4,419,246    4,534,627    4,426,046    4,572,013
    Average diluted
     common shares issued
     and outstanding      4,476,799    4,601,169    4,487,224    4,636,959
    Dividends paid per
     common share             $0.56        $0.50        $1.12        $1.00

    Summary Ending
     Balance Sheet                 June 30
                              2007         2006

    Total loans and
     leases                $758,635     $667,953
    Total debt securities   173,327      235,846
    Total earning assets  1,328,402    1,245,274
    Total assets          1,534,359    1,445,193
    Total deposits          699,409      676,865
    Total shareholders'
     equity                 135,751      127,841
    Common shareholders'
     equity                 132,900      127,570
    Book value per share      29.95        28.17


    * Preliminary data

    (1) Ratios do not include loans measured at fair value in accordance with
        SFAS 159 at and for the three and six months ended June 30, 2007.
    (2) Does not include 631,145 shares issued in conjunction with the merger
        with MBNA.

    Certain prior period amounts have been reclassified to conform to current
    period presentation.



    Bank of America Corporation
    Business Segment Results
    (Dollars in millions)


    Global Consumer and Small   Three Months Ended       Six Months Ended
    Business Banking (1)              June 30                 June 30
                                  2007        2006        2007        2006
    Total revenue, net of
     interest expense (FTE)(2)  $11,939     $11,377     $23,362     $22,218
    Provision for credit
     losses (3)                   3,094       1,807       5,505       3,708
    Noninterest expense           4,969       4,508       9,700       9,119
    Net income                    2,459       3,204       5,154       5,929

    Efficiency ratio              41.62 %     39.62 %     41.52 %     41.04 %
    Return on average equity      15.80       20.14       16.67       18.42
    Average loans and leases   $317,246    $282,390    $312,701    $280,821
    Average deposits            326,741     336,105     326,647     334,413

    Deposits
    Total revenue, net of
     interest expense (FTE)(2)   $4,404      $4,193      $8,645      $8,099
    Net income                    1,329       1,289       2,616       2,348
    Card Services
    Total revenue, net of
     interest expense (FTE)(2)    6,430       6,328      12,561      12,327
    Net income                      961       1,715       2,112       3,144
    CRE
    Total revenue, net of
     interest expense (FTE)(2)      856         701       1,695       1,417
    Net income                      141         173         371         359


    Global Corporate and        Three Months Ended        Six Months Ended
     Investment Banking                June 30                 June 30
                                  2007        2006        2007        2006

    Total revenue, net of
     interest expense (FTE)(2)   $5,814      $5,315     $11,137     $10,599
    Provision for credit
     losses                          41          22         156          47
    Noninterest expense           3,135       2,764       6,035       5,596
    Net income                    1,670       1,595       3,117       3,120

    Efficiency ratio              53.91 %     52.01 %     54.18 %     52.80 %
    Return on average equity      16.15       15.09       15.27       14.91
    Average loans and leases   $253,895    $231,073    $250,913    $228,080
    Average deposits            220,063     193,620     214,307     190,142

    Business Lending
    Total revenue, net of
     interest expense (FTE)(2)   $1,502      $1,503      $2,850      $2,862
    Net income                      589         593       1,047       1,121
    Capital Markets and
     Advisory Services
    Total revenue, net of
     interest expense (FTE)(2)    2,663       2,162       5,023       4,471
    Net income                      639         483       1,167       1,007
    Treasury Services
    Total revenue, net of
     interest expense (FTE)(2)    1,689       1,673       3,312       3,299
    Net income                      518         536       1,007       1,042


    Global Wealth and            Three Months Ended       Six Months Ended
     Investment Management             June 30                 June 30
                                  2007        2006        2007        2006

    Total revenue, net of
     interest expense (FTE)(2)   $2,008      $1,853      $3,896      $3,682
    Provision for credit
     losses                         (14)        (40)          9         (40)
    Noninterest expense           1,044         971       2,061       1,938
    Net income                      619         582       1,151       1,123

    Efficiency ratio              51.97 %     52.40 %     52.89 %     52.65 %
    Return on average equity      25.06       24.59       23.33       22.52
    Average loans and leases    $67,964     $59,803     $66,908     $58,979
    Average deposits            118,255     101,251     116,615     101,140

    The Private Bank
    Total revenue, net of
     interest expense (FTE)(2)     $486        $488        $943        $970
    Net income                      125         153         205         273
    Columbia Management
    Total revenue, net of
     interest expense (FTE)(2)      471         378         896         742
    Net income                      120          81         216         162
    Premier Banking and
     Investments
    Total revenue, net of
     interest expense (FTE)(2)      941         868       1,848       1,698
    Net income                      331         311         644         583


    All Other (1)                 Three Months Ended       Six Months Ended
                                       June 30                 June 30
                                   2007        2006        2007        2006

    Total revenue, net of
     interest expense (FTE)(2)     $197        $(30)        $47        $(29)
    Provision for credit
     losses (4)                  (1,311)       (784)     (2,625)     (1,440)
    Noninterest expense             (55)        474         394         988
    Net income                    1,013          94       1,594         289
    Average loans and leases   $101,094     $62,383     $96,671     $57,983
    Average deposits             31,976      43,820      34,329      41,655


    (1) GCSBB is presented on a managed basis with a corresponding offset
        recorded in All Other.
    (2) Fully taxable-equivalent (FTE) basis is a performance measure used by
        management in operating the business that management believes provides
        investors with a more accurate picture
        of the interest margin for comparative purposes.
    (3) Represents the provision for credit losses on held loans combined with
        realized credit losses associated with the securitized portfolio.
    (4) Represents the provision for credit losses in All Other combined with
        the Global Consumer and Small Business Banking securitization offset.

    Certain prior period amounts have been reclassified to conform to current
    period presentation.



    Bank of America Corporation
    Supplemental Financial Data
    (Dollars in millions)


    Fully taxable-equivalent basis
    data (1)                       Three Months Ended     Six Months Ended
                                        June 30               June 30
                                     2007       2006       2007       2006

    Net interest income             $8,781     $8,926    $17,378    $17,966
    Total revenue, net of interest
     expense                        19,958     18,515     38,442     36,470
    Net interest yield                2.59 %     2.85 %     2.60 %     2.91 %
    Efficiency ratio                 45.56      47.08      47.32      48.37


    Other Data                          June 30
                                    2007        2006

    Full-time equivalent
     employees                     195,675    201,898
    Number of banking centers -
     domestic                        5,749      5,779
    Number of branded ATMs -
     domestic                       17,183     16,984


    (1) Fully taxable-equivalent (FTE) basis is a performance measure used by
        management in operating the business that management believes provides
        investors with a more accurate picture
        of the interest margin for comparative purposes.

    Certain prior period amounts have been reclassified to conform to current
    period presentation.



    Bank of America Corporation
    Reconciliation - Managed to GAAP
    (Dollars in millions; except as noted)

The Corporation reports its Global Consumer and Small Business Banking results, specifically Card Services, on a managed basis. The change to a managed basis is consistent with the way that management as well as analysts and rating agencies evaluate the results of Global Consumer and Small Business Banking. Managed basis assumes that loans that have been securitized were not sold and presents earnings on these loans in a manner similar to the way loans that have not been sold (i.e., held loans) are presented. Loan securitization is an alternative funding process that is used by the Corporation to diversify funding sources. Loan securitization removes loans from the Consolidated Balance Sheet through the sale of loans to an off-balance sheet qualified special purpose entity which is excluded from the Corporation's consolidated financial statements in accordance with generally accepted accounting principles.

The performance of the managed portfolio is important in understanding Global Consumer and Small Business Banking's and Card Services' results as it demonstrates the results of the entire portfolio serviced by the business. Securitized loans continue to be serviced by the business and are subject to the same underwriting standards and ongoing monitoring as held loans. In addition, retained excess servicing income is exposed to similar credit risk and repricing of interest rates as held loans. Global Consumer and Small Business Banking's managed income statement line items differ from its held basis reported in the prior periods as follows:

    -- Managed net interest income includes Global Consumer and Small Business
       Banking's net interest income on held loans and interest income on the
       securitized loans less the internal funds transfer pricing allocation
       related to securitized loans.
    -- Managed noninterest income includes Global Consumer and Small Business
       Banking's noninterest income on a held basis less the reclassification
       of certain components of card income (e.g., excess servicing income) to
       record managed net interest income and provision for credit losses.
       Noninterest income, both on a held and managed basis, also includes the
       impact of adjustments to the interest-only strip that are recorded in
       card income as management continues to manage this impact within Global
       Consumer and Small Business Banking.
    -- The provision for credit losses represents the provision for credit
       losses on held loans combined with realized credit losses associated
       with the securitized loan portfolio.



    Global Consumer and Small Business Banking

                                                  Second Quarter 2007
                                           Managed   Securitization
                                            Basis     Impact (1)   Held Basis
    Net interest income (2)                $7,150      $(1,981)       $5,169
    Noninterest income
    Card income                             2,676          793         3,469
    Service charges                         1,488          -           1,488
    Mortgage banking income                   297          -             297
    Gains (losses) on sales of debt
     securities                                 -          -               -
    All other income                          328          (74)          254
        Total noninterest income            4,789          719         5,508
    Total revenue, net of interest
     expense                               11,939       (1,262)       10,677

    Provision for credit losses (3)         3,094       (1,262)        1,832
    Noninterest expense                     4,969          -           4,969
    Income before income taxes              3,876          -           3,876
    Income tax expense (2)                  1,417          -           1,417
     Net income                            $2,459         $-          $2,459

     Average loans and leases            $317,246    $(101,905)     $215,341


    Global Consumer and Small Business Banking

                                                  Second Quarter 2006
                                            Managed   Securitization
                                             Basis     Impact (1)   Held Basis
    Net interest income (2)                $6,967     $(1,846)       $5,121
    Noninterest income
    Card income                             2,528       1,136         3,664
    Service charges                         1,349         -           1,349
    Mortgage banking income                   210         -             210
    Gains (losses) on sales of debt
     securities                                 -         -               -
    All other income                          323         (67)          256
        Total noninterest income            4,410       1,069         5,479
    Total revenue, net of interest
     expense                               11,377        (777)       10,600

    Provision for credit losses (3)         1,807        (777)        1,030
    Noninterest expense                     4,508         -           4,508
    Income before income taxes              5,062         -           5,062
    Income tax expense (2)                  1,858         -           1,858
     Net income                            $3,204        $-          $3,204

     Average loans and leases            $282,390    $(94,952)     $187,438



    All Other

                                                   Second Quarter 2007
                                                      Securitization
                                            Reported    Offset(1)  As Adjusted
    Net interest income (2)                  $(1,945)     $1,981         $36
    Noninterest income
    Card income                                  676        (793)       (117)
    Equity investment gains                    1,719         -         1,719
    Gains (losses) on sales of debt
     securities                                    2         -             2
    All other income                            (255)         74        (181)
        Total noninterest income               2,142        (719)      1,423
    Total revenue, net of interest
     expense                                     197       1,262       1,459

    Provision for credit losses (4)           (1,311)      1,262         (49)
    Merger and restructuring charges              75         -            75
    All other noninterest expense               (130)        -          (130)
    Income before income taxes                 1,563         -         1,563
    Income tax expense (benefit) (2)             550         -           550
     Net income                               $1,013        $-        $1,013

     Average loans and leases               $101,094    $101,905    $202,999


    All Other

                                                  Second Quarter 2006
                                                     Securitization
                                            Reported   Offset(1)   As Adjusted
    Net interest income (2)                  $(1,404)     $1,846         $442
    Noninterest income
    Card income                                  961      (1,136)        (175)
    Equity investment gains                      577         -            577
    Gains (losses) on sales of debt
     securities                                   (5)        -             (5)
    All other income                            (159)         67          (92)
        Total noninterest income               1,374      (1,069)         305
    Total revenue, net of interest
     expense                                     (30)        777          747

    Provision for credit losses (4)             (784)        777           (7)
    Merger and restructuring charges             194         -            194
    All other noninterest expense                280         -            280
    Income before income taxes                   280         -            280
    Income tax expense (benefit) (2)             186         -            186
     Net income                                  $94        $-            $94

     Average loans and leases                $62,383     $94,952     $157,335

    (1) The securitization impact on Net Interest Income is on a funds
        transfer pricing methodology consistent with the way we allocate
        funding costs to our businesses.
    (2) Fully taxable-equivalent basis
    (3) Represents the provision for credit losses on held loans combined
        with realized credit losses associated with the securitized portfolio.
    (4) Represents the provision for credit losses in All Other combined
        with the Global Consumer and Small Business Banking securitization
        offset.

    Certain prior period amounts have been reclassified among the segments
    to conform to the current period presentation.

SOURCE Bank of America Corporation

CONTACT:
Investors May Contact:
Kevin Stitt, +1-704-386-5667
Lee McEntire, +1-704-388-6780
Leyla Pakzad, +1-704-386-2024
all of Bank of America;
Reporters May Contact
Scott Silvestri of Bank of America
+1-980-388-9921
scott.silvestri@bankofamerica.com