Skip to content
Subscriber Only

BofA Drops After Stress-Test Error Halts Payout Increase

Bank of America Corp. fell the most since November 2012 after suspending plans for a dividend increase and $4 billion of share repurchases because of an error in its stress-test submission to the Federal Reserve.

The lender will resubmit its proposal after finding botched accounting on structured notes issued by Merrill Lynch, the Charlotte, North Carolina-based company said today in a statement. The stock tumbled 6.3 percent to $14.95 in New York, erasing a gain for 2014.