In the spirit of the recessionary season, Bank of America, being no stranger to asking for assistance, has said that it will accept California’s IOU’s.
Here is BofA’s statement, courtesy of FT Alphaville:
Bank of America Announces Limited Acceptance of California State-Issued Registered Warrants for Customers and Clients
SAN FRANCISCO, July 1 /PRNewswire/ — Bank of America today issued the following statement regarding its decision to accept California state-issued registered warrants:
“Bank of America recognizes the State of California budget crisis will impact our clients and customers. To support our customers, while giving the state legislature additional time to pass a budget, we will accept California state-registered warrants – or IOUs – from existing customers and clients. Based on state disbursement estimates, we will accept the registered warrants through July 10.
(Logo: http://www.newscom.com/cgi-bin/prnh/20050720/CLW086LOGO-b )
“As always, we will work with customers who are impacted by the state budget issues on a case-by-case basis to address their short-term needs using our existing products and services.”
An interest rate has not been announced but Ken Lewis is most certainly pulling for something in the nabe of one case of bourbon per $1 million.
BofA to accept Cali IOUs [FT Alphaville]