Forced to resubmit its capital return plan to the Fed and now approved, Bank of America (BAC) announces a boost in its quarterly dividend to $0.05 per share from $0.01 previously (annualized, a 1.16% yield). The buyback amount is $4B, or 232M shares at today's price - roughly 2.2% of the float. Both are about inline with expectations.
In other news BofA settles with the FHFA over all RMBS litigation, agreeing to pay $6.3B and repurchase certain RMBS for about $3.2B. The deal resolves four lawsuits filed against BofA, Countrywide, and Merrill Lynch covering about $57.5B of mortgages.
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