MortgageSecurities

Bank of America's $8.8 Billion Black Eye

"The largest loss in Bank of America's history." That's the sound bite from the bank's second quarter earnings report, which disclosed an $8.8 billion bottom-line loss. But now that BOA is atoning for its mortgage-related sins, there's a chance its stock may be undervalued.

Investors Extend Talks With Bank of America Over Mortgage Bonds

Bank of America (BAC) said talks will continue with bondholders who are demanding it buy back securities backed by billions of dollars of bad mortgages. Bank of America has been in talks with investors including Pacific Investment Management Co (Pimco), BlackRock Inc (BLK) and the Federal Reserve Bank of New York over $47 billion of mortgage bonds, Bloomberg News reported.