Bank of America Corp. ousted prominent executives Sallie Krawcheck and Joe Price on Tuesday as part of Chief Executive Brian Moynihan's efforts to reorganize the struggling company.
The largest U.S. bank by assets said on Tuesday evening that David Darnell and Tom Montag would become co-chief operating officers, effective immediately.
The reorganization "aligns the company's operating units with its three core customer groups: individuals, companies, and institutional investors," Bank of America said in a
Krawcheck, who is regularly named as one of the industry's
The management reorganization is Moynihan's latest attempt to address the many problems facing Bank of America, including widespread doubts about its capital levels, the still-unknown cost of resolving its mortgage liabilities, and long-faltering investor confidence. Last month Moynihan resorted to taking a $5 billion infusion from legendary investor Warren Buffett, at terms that were widely considered
In the latest blow last week, the federal agency that oversees Fannie Mae and Freddie Mac sued Bank of America and several other financial institutions. Due to its acquisitions of Countrywide and Merrill Lynch, B of A's exposure to the lawsuits is