Bank of America in $2 Billion Countrywide Investment

August 22, 2007

Cleary Gottlieb represented Bank of America in its $2 billion investment in non-voting convertible preferred stock of Countrywide Financial Corporation. The transaction was signed and funded on August 22. Bank of America chairman and CEO Kenneth Lewis stated that “we hope this investment will be a step toward a return to more normal liquidity in the mortgage markets,” noting that Countrywide services mortgages for one in seven American households.