That is a link to a law firn advertisement, which at the end, falsely says:
As these facts became known, the price of BoA common stock plummeted from $12.99 per share to a low of $5.10 per share, causing a market capitalization loss of approximately $50 billion.
1. There were only about 4.4 billion shares outstanding of BAC at 12/31/08. The $50 billion above implies 6.337 billion shares outstanding, probably counting the 1.1 B shares issued for ML.
2. It makes no sense to argue that ML was weaker and worth less than BAC agreed to pay for it, but the ML shareholders got a raw deal.
3. The financial markets as represented by the S&P 500 declined and the index ex-BAC declined in the period following December 31.
4. The banking sector (with or without BAC) declined a greater percentage than the overall market.
Exaggerating the loss supposedly incurred makes that page look like a scam. |
