Bank of America Corp.’s projected cut of its 6,100 branches would be a pullback from the bank’s two-decade expansion.
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CHARLOTTE, N.C. - Bank of America Corp. could eventually shrink its 6,100-branch network by about 10 percent as consumers utilize other methods of banking, a company spokesman said yesterday.
Bank of America spokesman James Mahoney made the comments when asked about a published report that CEO Ken Lewis and another bank executive described such a plan to investors at a meeting last week in Charlotte, N.C., where the bank is based.
The move would be a pullback from the bank’s two-decade expansion, most recently under Lewis’s command, which expanded the bank from coast to coast.
“What took place was a discussion about the long-term direction of the company,’’ Mahoney said.
“Over the longer-term, as customer demands evolve, we see a fewer number of branches that provide more services.’’
The bank does not have a specific number of branches that will ultimately compose its franchise, Mahoney said, adding there’s no immediate plan to close 10 percent of the bank’s branches.
“In response to a question from an investor on the magnitude of branch closings, Lewis did acknowledge that the range could be potentially 10 percent,’’ Mahoney said.
Shares of Bank of America rose 25 cents, or 1.9 percent, to close at $13.34 yesterday.
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