CHARLOTTE, N.C. - Bank of America has signed a memorandum of understanding with Exult Inc., a provider of Web-enabled human-resources management services for multinational corporations.

Bank of America and Exult are negotiating a 10-year definitive agreement that is expected to be worth more than $1 billion and save Bank of America 10% in costs for payroll operations, accounts payable, and benefits administration.

In addition, Bank of America would acquire five million shares of Exult common stock and have a warrant to purchase another five million.

The relationship also would make Bank of America Exult's preferred financial services partner to clients of Exult's human-resources Web site.

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