...The long-term issuer default rating (IDR) of Bank of America Corporation (BAC) reflects demonstrated government support at the company's support floor of `A+'. The Rating Outlook is Stable. The short-term IDR of `F1+' also reflects a high level of demonstrated government support. Support-based ratings apply to the parent as well as bank subsidiaries, since support has flowed to both groups. Due to success in raising capital, pressure on preferred level ratings has abated. Accordingly, Fitch Ratings has taken preferred and trust preferred issues off Rating Watch Negative. The individual rating of `D' reflects BAC's weak earnings performance, high loan losses, litigation risk, and mark-to-market charges on collateralized debt obligations, commercial mortgage securities, and similar assets. It also reflects corporate governance concerns and the need to integrate three complex recent mergers. Preferred stock issues are rated `B', while trust preferred securities are rated `BB-.' Both ratings...
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