Aimee Freeman

Bank of America Corp., reports a fourth-quarter net loss of $2.39 billion, or 48 cents per diluted share. The news comes on the same day the Charlotte-based bank says it will slash its dividend to one cent per share from 32 cents and accept an additional $20 billion in bailout money.

The federal funds are in addition to the $25 billion BofA has already received under the Troubled Asset Relief Program, which is designed to unfreeze the credit markets and boost the economy.

BofA earned $215 million, or 5 cents per diluted share, in the fourth quarter of 2007.

The latest figures include results from Countrywide Financial Corp., which BofA purchased on July 1, but not Merrill Lynch & Co. Inc., which it purchased Jan. 1.

Net interest income rose to $13.1 billion in the latest quarter from nearly $9.17 billion in the fourth quarter of 2007. Total noninterest income fell to $2.57 billion from $3.64 billion in the same period.

BofA (NYSE:BAC) says fourth-quarter results were driven by escalating credit costs, including additions to reserves, and significant writedowns and trading losses in its capital-markets businesses.

"These actions reflect the deepening economic recession and extremely challenging financial environment, both of which significantly intensified in the last three months of 2008," BofA says.

BofA's provision for credit losses rose to $8.54 billion from $3.31 billion in the fourth quarter of 2007.

Global consumer and small-business banking and global wealth and investment management were profitable, boosted by BofA's expanding deposit business. However, BofA says negative results in capital markets and advisory services offset the bank's profitability in business lending and treasury services, which are part of BofA's global corporate- and investment-banking division.

Merrill Lynch's preliminary results indicate a fourth-quarter net loss of $15.31 billion, or $9.62 per diluted share, driven by severe dislocations in the capital markets.

As part of BofA's acquisition of Merrill Lynch, federal officials have given BofA an additional $20 billion in funds. The government also has agreed to provide protection against further losses on $118 billion in capital-markets exposure, primarily from the Merrill Lynch portfolio.

Under the agreement, BofA would cover the first $10 billion in losses and the government would cover 90 percent of any subsequent losses. BofA has agreed to pay a premium of 3.4 percent of those assets.

The latest assistance from the U.S. Treasury Department and the Federal Deposit Insurance Corp. come amid growing concerns about BofA's financial condition.

Federal officials announced the deal early this morning.

BofA's stock, which has traded between $7.35 and $45.08 over the last year, closed at $8.32 per share Thursday, down from Wednesday's closing price of $10.20. It dropped another 13.7 percent Friday, closing at $7.18 per share.

For the full year, BofA earned $2.56 billion, or 55 cents per diluted share, down from $14.8 billion, or $3.30 per diluted share.

Net interest income rose to $45.36 billion from $34.44 billion in 2007. Total noninterest income fell to $27.42 billion from $32.39 billion in the same period.

For More information, go to http://www.teamfreemanproperties.com/ or find more related articles on: Active Rain Team Freeman Blog Trulia.com or HomeGain

Aimee & Team Freeman
RE/MAX Executive Realty
http://www.teamfreemanrealestate.com/
888-278-4935

An Italian court has acquitted Bank of America Corp. of charges related to events before April 2002 in a trial of five banks, Dow Jones Newswires reports. The case revolves around the collapse of Parmalat Finanziaria SpA, the Italian dairy conglomerate that collapsed in December 2003 in one of Europe's biggest financial scandals.

An Italian judge ordered BofA to go to trial on allegations that it failed to prevent three former employees from market rigging in connection with Parmalat. The former employees faced charges for vetting a news release issued by Parmalat in 1999 that Italian regulators claim was misrepresentative.

The charges against Charlotte-based BofA (NYSE:BAC) were administrative. Italian law stipulates that a company can be charged for not having proper governance in place to prevent illegal actions.

The other banks ordered to go to trial by Judge Cesare Tacconi were Citigroup Inc. (NYSE:C), Morgan Stanley (NYSE:MWD), Deutsche Bank AG (NYSE:DB) and UBS AB (NYSE:UBS). The banks have denied any wrongdoing.

According to Dow Jones Newswires, the Milan court acquitted BofA of charges related to events before April 2002, because at the time the law that attributes administrative responsibilities to companies wasn't in place yet.

For More information, go to http://www.teamfreemanproperties.com/ or find more related articles on: Active Rain Team Freeman Blog Trulia.com or HomeGain

Aimee & Team Freeman
RE/MAX Executive Realty
http://www.teamfreemanrealestate.com/
888-278-4935

Occupancy at Charlotte-area hotel rooms fell to 49 percent in November, down 17 percent from a year earlier.

According to data from the Charlotte Regional Visitors Authority, local hotel occupancy fell 8.2 percent in the first 11 months of last year to 61.6 percent.

By comparison, in the first 11 months of 2008, hotel occupancy fell 4 percent in the United States and 6.6 percent in North Carolina.

The average room rate in the Charlotte area fell 1 percent to $81.40 in November.

For the first 11 months in 2008, the average daily rate was $87.36, up 4.9 percent from the same period in 2007.

That's more than the 3.7 percent increase in North Carolina and 2.8 percent increase nationwide.

Charlotte-market revenue per available room was $40.59 in November, down 17.7 percent from the same month in 2007.

In the first 11 months of the year, revenue per available room was $53.81 in the Charlotte area, down 3.7 percent from the same period in 2007.

It declined 1.3 percent in the United States and 3.1 percent in North Carolina in the same period.

For More information, go to http://www.teamfreemanproperties.com/ or find more related articles on: Active Rain Team Freeman Blog Trulia.com or HomeGain

Aimee & Team Freeman
RE/MAX Executive Realty
http://www.teamfreemanrealestate.com/
888-278-4935

Family Dollar Stores Inc. has increased its quarterly dividend by 8 percent.

The Matthews-based discount chain has declared a quarterly cash dividend on its common stock of 13.5 cents per share, payable April 15 to shareholders of record on March 13.

The company's previous quarterly cash dividend was 12.5 cents per share.

"Increasing our dividend for the 33rd consecutive year reflects our confidence in the long-term growth opportunity for Family Dollar," says Howard Levine, chief executive.

Last week, the company reported a 14.1 percent increase in earnings for its first fiscal quarter ended Nov. 29.

Family Dollar earned $59.3 million, or 42 cents per diluted share, up from $51.9 million, or 37 cents per diluted share, a year earlier.

Revenue rose 4.2 percent to $1.75 billion, and comparable-store sales increased 2.1 percent.

Family Dollar (NYSE:FDO) operates more than 6,600 stores in 44 states.

For More information, go to http://www.teamfreemanproperties.com/ or find more related articles on: Active Rain Team Freeman Blog Trulia.com or HomeGain

Aimee & Team Freeman
RE/MAX Executive Realty
http://www.teamfreemanrealestate.com/
888-278-4935

Swedish home-furnishings giant Ikea is putting the final touches on its first Carolinas store, which opens in five weeks in the University area.

The 356,000-square-foot store will be one of the chain's largest. It will feature three model homes and 49 room vignettes, including 17 kitchens. Shoppers will be able to buy more than 10,000 exclusively designed products - from furniture to art, tableware and even food.

Ikea is known for low-priced furnishings that customers assemble at home.

But it has expanded its offerings and services in recent years. For example, complete kitchen setups can be purchased from about $1,800 to $3,800, including Ikea-branded appliances, cabinets and countertops.

Ikea now offers on-site designers to help shoppers create complete rooms, take measurements and recommend contractors to assemble the furniture. The store also can arrange home delivery.

And customers can rent vans at the store to take their purchases home.

"We've taken a product that is pretty good and made it fantastic," says Joseph Roth, Ikea spokesman.

Most of the store's 400 employees have been hired and are working to assemble the furniture and displays. The store is opening ahead of schedule on Feb. 18, anchoring a new Crescent Resources development off the newly created City Boulevard exit on Interstate 85.

Roth says it normally takes up to 13 months to open an Ikea store. The company broke ground for the Charlotte Ikea in April and expects to open within 10 months. Roth says the accessibility of the site and good weather contributed to the fast pace of construction.

Shoppers can start lining up 24 hours before the opening. Ikea openings can attract several thousand shoppers for a grand opening.

Ikea, founded in 1943, is a privately owned retailer based in Helsingborg, Sweden. Its U.S. sales in 2008 topped $3.2 billion. The chain has more than 280 stores around the world