The shareholders of Bank of America and Merrill Lynch approved the merger of the two banks. But apparently John Thain won’t be a member of the board of directors of the combined bank once the transaction closes.
We’re not terribly surprised. Thain was brought on to conduct some triage at Merrill Lynch after the firm ran over the mortgage business abysss, just as he was hired by the New York Stock Exchange to fix things after its compensation scandals. He’s Mr. Fix-It. He’s not likely going to spend very much time in the middle of Bank of America’s corporate structure.
Officially Thainas agreed to become president of the combined company’s global banking, securities and wealth management businesses. How long do you think he’ll last? Our estimate is just one fiscal quarter. After than, those roles will be divided between Bob McCann, who will run the brokers, and Greg Fleming, who will run the investment banking business.
How long do you think he’ll last?