Bank of America Announces Redemption of JPY 27,800,000,000 0.534% Fixed/Floating Rate Senior Notes, due March 18, 2027
MWN-AI** Summary
Bank of America Corporation has announced plans to redeem all outstanding principal of JPY 27,800,000,000 (approximately $250 million) in its 0.534% Fixed/Floating Rate Senior Notes, which are due on March 18, 2027. This redemption is set to take place on March 18, 2026, and will follow the company's established procedures under the Euro Medium-Term Note Program, which encompasses a total of $65 billion.
The redemption will occur at a price equal to the Optional Redemption Amount, which is set at JPY 100,000,000 for each JPY 100,000,000 of the calculation amount, alongside any accrued and unpaid interest up until the redemption date. Consequently, from March 18, 2026, holders of the notes will no longer earn interest. The payment process will be managed by Euroclear Bank and Clearstream Banking, facilitated by Citibank, N.A., which serves as the Principal Agent and Citibank Europe plc is designated as the Registrar.
Bank of America, a prominent global financial institution, caters to a diverse clientele, ranging from individuals to large corporations. It offers a comprehensive suite of banking, investing, and asset management services, underscored by a robust digital platform and a widespread network of retail centers and ATMs across the United States.
Investors and financial stakeholders are encouraged to remain informed about the company's developments, as Bank of America may issue forward-looking statements regarding its future performance and conditions, accompanied by various market risks. Detailed inquiries can be directed to their investor relations and media contacts for additional insights.
MWN-AI** Analysis
Bank of America's announcement regarding the redemption of JPY 27.8 billion of its 0.534% Fixed/Floating Rate Senior Notes highlights important strategic financial maneuvers that could signal broader market implications for investors. Set to take effect on March 18, 2026, this redemption is indicative of the bank's efforts to manage its liability effectively amid fluctuating interest rates and global economic uncertainties.
With the Japanese yen showing potential volatility and the global interest rate environment steering towards tightening, Bank of America’s decision to redeem these notes can be interpreted as a preemptive strategy to mitigate future interest costs and optimize capital structure. By taking these fixed-rate obligations off the table, the bank positions itself to potentially refinance at lower rates or allocate capital towards more lucrative opportunities.
For investors, this action could serve as a bullish signal, reflecting the strength of Bank of America's financial position and its proactive management approach. Monitoring the bank’s stock (NYSE: BAC) could provide insights into market sentiment as analysts dissect the implications of this redemption. Furthermore, investors with exposure to similar fixed-rate securities should evaluate their own portfolios, particularly in the context of rising rates and potential shifts in currency valuations.
Investors should also keep an eye on economic indicators, including inflation trends and central bank policies, particularly from the Bank of Japan and the Federal Reserve, which could influence market dynamics for both equities and fixed income securities. The strategic decisions by large institutions like Bank of America can often pave the way for sector trends, making it essential for stakeholders to remain informed and agile in response to such financial developments.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
PR Newswire
CHARLOTTE, N.C., March 3, 2026 /PRNewswire/ -- Bank of America Corporation announced today that it will redeem on March 18, 2026 all JPY 27,800,000,000 principal amount outstanding of its 0.534% Fixed/Floating Rate Senior Notes, due March 18, 2027 (ISIN: XS1963076051; Common Code: 196307605; Series Number: 859) (the "Notes").
The Notes were issued under the Bank of America Corporation U.S. $65,000,000,000 Euro Medium-Term Note Program. The redemption price for the Notes will be equal to the Optional Redemption Amount of JPY 100,000,000 per JPY 100,000,000 Calculation Amount (as specified in the applicable Pricing Supplement dated March 13, 2019), plus accrued and unpaid interest to, but excluding, the redemption date of March 18, 2026. Interest on the Notes will cease to accrue on the redemption date.
Payment of the redemption price for the Notes will be made in accordance with the applicable procedures of Euroclear Bank SA/NV and Clearstream Banking, S.A.
Citibank, N.A., London Branch is the Principal Agent for the Notes and Citibank Europe plc is the Registrar for the Notes.
Bank of America
Bank of America is one of the world's leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving nearly 70 million clients with approximately 3,600 retail financial centers, approximately 15,000 ATMs (automated teller machines) and award-winning digital banking with approximately 59 million verified digital users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business households through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and more than 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
For more Bank of America news, including dividend announcements and other important information, visit the Bank of America newsroom and register for news email alerts.
Forward-looking statements
Certain information contained in this news release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future results or performance and involve certain risks, uncertainties and assumptions difficult to predict or beyond our control. You should not place undue reliance on any forward-looking statement and should consider the uncertainties and risks discussed under Item 1A. "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2025 and in any of our subsequent Securities and Exchange Commission filings. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update any forward-looking statement to reflect the impact of circumstances or events that arise after the date the forward-looking statement was made.
Investors may contact
Lee McEntire, Bank of America
Phone: 1.980.388.6780
lee.mcentire@bofa.com
Jonathan G. Blum, Bank of America (Fixed Income)
Phone: 1.212.449.3112
jonathan.blum@bofa.com
Reporters may contact
Jocelyn Seidenfeld, Bank of America
Phone: 1.646.743.3356
jocelyn.seidenfeld@bofa.com
SOURCE Bank of America Corporation
FAQ**
How does the redemption of the JPY 27,800,000,000 0.534% Fixed/Floating Rate Senior Notes due March 18, 2027 by Bank of America Corporation BAC impact its overall debt profile and financial strategy?
What factors led Bank of America Corporation BAC to choose to redeem these Senior Notes early rather than holding them until maturity?
How will the redemption of these notes affect Bank of America Corporation BAC's liquidity and capital management moving forward, especially in the context of current market conditions?
What are the implications of this redemption for investors holding Bank of America Corporation BAC's other outstanding debt instruments?
**MWN-AI FAQ is based on asking OpenAI questions about Bank of America Corporation (NYSE: BAC).
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