BRIEF-Bank of America CFO: bank subsidiaries to issue more debt

Wed Jan 15, 2014 10:04am EST

Jan 15 (Reuters) - Bank of America Corp : * CFO: banking subsidiaries likely to issue more debt because of liquidity

rules * Executives speaking on conference call with analysts * Expects quarterly expenses in legacy mortgage unit to fall to $1.1 billion in

Q4 2014: CFO * CFO: competition for mid-market commercial loans 'particularly aggressive' * CFO: demand strong for commercial loans * Expects effective tax rate of around 30 percent in 2014: CFO * CFO Bruce Thompson: expect interest income 'to grind upwards' * CFO: target 1 percent return on assets, 14 percent return on tangible common

equity over next few years * CFO: equity return target includes rate expectations in markets * CFO: bank will take other actions to meet target if environment changes * CFO: could have 'few less' than 5,000 branches by end of 2014 * CFO: 1 percent increase in interest rates would add $3.0 billion to $3.1

billion to interest income as of year-end