Jones Lang LaSalle


BofA to cut 1,900 jobs
Tuesday April 11, 1:36 pm ET

Bank of America Corp. is closing call centers in Delaware, Colorado and Pennsylvania, cutting about 1,900 jobs as it integrates former credit-card giant MBNA Corp.

BofA (NYSE:BAC - News) bought MBNA of Delaware in January for $35 billion in a deal that created the largest credit-card issuer in the country, based on balances.

All affected workers will be offered severance packages and outplacement services, a bank spokeswoman says. Employees in Delaware and Pennsylvania will be offered opportunities to apply for other positions within BofA, she says.

Bank officials have said they expect to save $850 million in expenses by the end of 2007 through measures that included cutting 6,000 jobs and eliminating overlapping technology and marketing.

After the January purchase, BofA announced a series of cutbacks, including the closing of five call centers in Maine and Delaware.

And last month, the Colorado Springs Business Journal reported the planned closure of a 600-employee call center in Colorado Springs, Col. The bank is also reportedly planning to outsource mortgage operations it inherited from MBNA in Cleveland.

BofA is one of the world's largest financial institutions, with more than 5,800 retail branches and 16,700 ATMs.