O'Connor expects revenue to be flat to lower vs. the second quarter at all the largest U.S. banks, with JPMorgan Chase (JPM_), and Citigroup (C_) faring the worst at -6% each. O'Connor sees a 2% decline in revenue for Bank of America (BAC_) vs. the previous quarter, while he expects Wells Fargo (WFC_) revenue to be unchanged.
Well cchaker, despite the fact that you're one of the strongest boosters of BAC on this board, it seems you can still be tarred and feathered even when you post a quote from an analyst that others don't like. Shooting the messenger is alive and well on this board.
750 Million pre-tax gain.......Who is O"Conner?? This transaction should be good for Q3
BofA commenced the sale of 2 billion shares of CCB at a price range of HK$5.63–5.81 (73–75 cents) per share for $1.5 billion. Notably, this represented a 2–5% discount to the closing price of CCB on Sep 3, 2013.
The deal is expected to generate a pre-tax gain of roughly $750 million during the third quarter. This will partially offset the negative fair value option (FVO) adjustments and debit valuation adjustments (DVA) in case BofA’s credit spreads remain at the present level.