Business: Bank of America, 7.25% Non-Cumulative Convertible Preferred Stock, Series L, liquidation preference $1000 per share, and with no stated maturity. Non-cumulative distributions of 7.25% ($72.50) per annum are paid quarterly on 1/30, 4/30, 7/30 & 10/30 to holders of record on the first day of the month in which the payment is due (NOTE: the ex-dividend date is one business day prior to the record date). The dividends are non-cumulative and if the board of directors does not declare a dividend or the company fails to pay a dividend declared by the board for any quarterly dividend period, the holder will not be entitled to receive any dividend for that quarterly period and the undeclared or unpaid dividend will not accumulate. Dividends paid by this preferred security are eligible for the preferential income tax rate of 15% to a maximum of 20% depending on the holder's tax bracket (and under IRS specified holding restrictions) and are also eligible for the dividends received deduction for corporate holders (see page S-40 of the prospectus for further information). The preferred shares are convertible any time at the holder's option into 20 common shares of Bank of America Corp. (NYSE: BAC), an initial conversion price of $50 per common share (a 25% premium from the initial price). On or after 1/30/2013, if the price of the common stock exceeds 130% of the conversion price for 20 of any 30 consecutive trading days, the company may, at their option, force the preferred shares to be converted into common shares at the then prevailing conversion price. In regard to the payment of dividends and upon liquidation, the preferred shares rank equally with other preferreds and senior to the common shares of the company. See the IPO prospectus for further information on the convertible preferred stock and the conversion provisions by clicking on the ‘Link to IPO Prospectus’ provided below.