Largest state retirement system in US wants Lewis, entire board out of BofA
The California Public Employees Retirement System or CalPERS plans to vote against board Chairman Ken Lewis and all of the board of directors. CalPERS spokesman Clark McKinley says the bank's board did not disclose Merrill Lynch's financial troubles before shareholders approved the deal to acquire it in early December. "This was a pretty flagrant breach of their responsibility of their duty to shareowners and because of that all of those people were on watch when that happened. So we're voting to remove them."
The system holds 23 million shares of Bank of America. McKinley says CalPERS is a long-term investor and doesn't intend to pull its shares any time soon.
Last week the Connecticut state treasurer said its retirement system would vote against Lewis and several board members.