Bank of America (BAC) Spending Millions To Keep Investment Bankers

Bank of America (NYSE: BAC), one of the bailed out banks, has been spending millions in bonuses in an effort to lure and keep talented investment bankers who management views as important, acccording to The Post.

The Post reported among those who are said to have received bonuses are two former Merrill Lynch bankers, Fares Noujaim, who was recently appointed as Bank of America's (NYSE: BAC) vice chairman of investment banking, and Harry McMahon, a well-connected West Coast-based banker. Both were offered guarantees not to leave the firm.

Fares Noujaim is said to have received roughly $15 million over two years. His earlier employment contract was nullified once Merrill merged with BofA earlier this year.

The guarantees that are being shelled out by Bank of America have some people questioning it since it received $45 billion in TARP funds and hasn't been allowed to refund that money.

"Competitive recruiting in investment banking and capital markets continues to be very intense and we're taking the steps necessary to retain key talent in response to competitive pressures," said Bank of America spokeswoman Jessica Oppenheim.
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