Bank of America Announces $4b Buyout of Countrywide
Jan 11, 2008
Bank of America announced this morning that they plan to purchase Countrywide for $4b in the third quarter of 2008. It will be a stock buyout. It's highly speculated as to why BOA would choose to take on the troubled mortgage corporation. Some speculate they are doing so for the loan servicing software, and some speculate they are doing so to "save face" after their $2b bail out of the company earlier this year. Bank of America has announced plans to shut down Countrywide's failing sub-prime department.
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