By Rick Rothacker
Jan 23 Bank of America Corp on Wednesday
appointed two new directors as the second-largest U.S. bank
continues to revamp a board that is likely to lose members to
retirement this year.
The Charlotte, North Carolina-based bank now has 18
directors with the addition of Arnold Donald, the former chief
executive of sweetener manufacturer Merisant Co, and Lionel
Nowell II, a former treasurer of PepsiCo Inc.
In August, the board named four new directors in what the
bank said was anticipation of directors reaching retirement age
when their terms expired this spring.
The bank's most recent proxy filing says a director who has
reached the age of 72 or older should not be nominated for
re-election, although the board can make exceptions.
Three directors are currently at or near that age:
MillerCoors senior adviser Virgis Colbert (73), Carlyle Group
senior adviser Charles Rossotti (72) and former Federal
Deposit Insurance Corp Chairman Donald Powell (71), according to
the bank's website.
A Bank of America spokesman declined to comment on possible
retirements or the future size of the board. The bank will
disclose which directors are running for re-elecion in its proxy
filing this spring. In September 2009, the board approved a
resolution to set its size at 15 directors.
The new additions are just the latest makeover for the
In May 2009, under pressure from the U.S. government, Bank
of America announced plans to add more directors with financial
expertise and banking experience as the bank struggled with its
Merrill Lynch acquisition and faced a capital shortfall. In the
next few months, the bank named six new directors, while other
board members stepped down.
If Powell departs, only three of the six directors added in
the latter half of 2009 will remain. Rossotti and Colbert are
former Merrill directors.
In Brian Moynihan's three years as CEO, the bank has made
progress in building capital and settling mortgage-related
litigation, but the bank is under pressure to show it can boost
profits at a time of low interest rates and new regulations that
are crimping fees.