BankAmerica to Issue $150 Million Preferred

BankAmerica Corp. is issuing $150 million in preferred stock through underwriters led by Merrill Lynch & Co.

Indications are that the dividend on the issue will be set at roughly 9%.

The San Francisco banking company is coming to market at a time when prices are dropping on many recent preferred stock offerings.

But the dividend on the BankAmerica offering will probably be set close to where its older issues are already trading.

This prospective strategy suggests it should be able to hold its price.

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