Bank of America has been told it needs to raise more capital as part of the government’s stress test of big banks, the Charlotte Observer reports today.
A Bank of America spokesman declined to comment but disputed a Financial Times story that said BofA was working on plans to raise $10 billion.
Regulators are examining 19 large banks to see if they would require more capital to survive a deeper recession. The results are set to be released publicly on Thursday. Banks that fail the test will be told to raise more money.
The Associated Press reported Monday that regulators have also asked Wells Fargo & Co., which bought Wachovia, to shore up its finances. The AP did not say how much capital Wells Fargo would be forced to raise.
Click here to read a longer version of this story.
