Bank Of America Share Prices Rolled Back To 1987
The last time share prices of Bank of America (NYSE:BAC) (NYSE:BAC) were as low as they are today, the Iran-Contra affair was making headlines, Mike Tyson was heavyweight champion, and Ronald Reagan was challenging Mikhail Gorbachev to tear down the Berlin Wall.
It's been 22 years since the bank company has seen the value of its' shares at their current low point. The stock hit a price of $4.21, down 10% from last night's closing price.
A stampede of sellers have hit the price as criticism of the management of CEO Ken Lewis and unhappiness over the Merrill Lynch buyout turn into tangible reasons for scared shareholders to flee.
Add in the fact that Ohio Democrat Dennis Kucinich is looking into the company's dealings over sports sponsorships and stadium naming rights, and you have a veritable "perfect storm" affecting the company which is causing a rush to the exits.
Investors also learned that the company felt pressured into staying in the Merrill Lynch deal, after Lewis realized just how bad the assets they acquired from Merrill really were.
Lawmakers, shareholders, customers, and even employees of BAC are up in arms that the company has become the poster child of the current financial crisis and the failed bailout.
It will be interesting to see just how low BAC can go with so much momentum driving action on the sell side.
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