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Bank of America New Markets Initiative Exceeds $200 Million
Bank of America New Markets Initiative Exceeds $200 Million
Published 10-04-00
Submitted by Bank of America Corporation
Bank of America today announced it has invested more than $200 million to help rebuild America's cities by supporting local businesses and entrepreneurs through the Bank of America Catalyst Fund.
The Bank of America Catalyst Fund, with a goal of $500 million, was announced in July 1999 at the same time as President Clinton's trade mission to America's New Markets. The Bank of America Fund is an example of private sector inner-city investments that President Clinton has encouraged as part of the New Markets Initiative.
The $200 million in Catalyst Fund investments includes 31 commitments in 11 states and the District of Columbia. The commitments are in Arizona, California, Florida, Georgia, Illinois, Maryland, Missouri, North Carolina, Tennessee, Texas, Virginia, and Washington, D.C.
"The Bank of America Catalyst Fund is an example of what companies should and must mean to communities," Dulan said. "It is part of our commitment to make $350 billion in loans and investments for community development over ten years."
The Bank of America Catalyst Fund includes an equity program to support inner-city development that significantly impacts and sustains local communities. One example is a $7 million investment in Chesterfield Square, a shopping center in South Los Angeles. The facility will promote revitalization of the area by providing goods and services as well as jobs for residents in the area.
The Bank of America Catalyst Fund also includes a venture capital initiative to provide funding for businesses that create or preserve jobs and improve the economic base of urban areas. In St. Louis, Bank of America invested $10 million in the CNC Fund which will focus on minority-and women-owned or managed companies, mainly in the Midwest.
In addition, the Fund includes a $100 million commitment to support Community Development Financial Institutions (CDFIs) that are already providing capital to organizations in the inner-city and other underserved markets. The National Trust for Historic Preservation, headquartered in Washington, D.C.,received a $3 million investment to provide loans, grants and technical assistance exclusively to nonprofit community based-developers to rehabilitate historic buildings for affordable housing.
Bank of America, with $680 billion in assets, is the largest bank in the United States. It has full service operations in 21 states and the District of Columbia and provides financial products and services to 30 million households and two million businesses, as well as international corporate financial services for business transactions in 190 countries. The company's stock (ticker BAC) is listed on the New York, Pacific, and London stock exchanges, and certain shares are listed on the Tokyo Stock Exchange.
