CHARLOTTE, N.C. Bank of America Corp. said it would add about $600 million to net income and about 37 cents to each share of common stock, on a yearly basis, once it adopts new accounting rules on Jan. 1, 2002.
In a quarterly report filed with the Securities and Exchange Commission late Monday, the banking company said it would adjust accounting procedures so that goodwill is no longer amortized, and will test for impairment at least once a year at the reporting unit level.
Washington Mutual Inc., in its quarterly filing, said the adoption of new accounting standards would reduce goodwill amortization by approximately $135 million annually.
First Union Corp., also subject to the change in accounting procedures beginning next year, said in an SEC filing that goodwill amortization would cost it $60 million in the third and again in the fourth quarter of this year.
