Our country's Top CEO's expect job growth next year. This shows we're on our way back!

Survey Also Reveals Concern About Current Economy and Economic Growth Next Year

CHARLOTTE, N.C., Dec 09, 2010 (BUSINESS WIRE) --

Financial executives at U.S. companies expressed more optimism that their businesses will hire employees and see revenue growth in 2011, according to a recent Bank of America Merrill Lynch survey.

Of the 801 executives surveyed in the bank's annual CFO Outlook, 47 percent said they expect their companies to hire additional employees next year, up from 28 percent who forecast hiring last year. Only 6 percent said they expect layoffs, compared with 9 percent last year. In addition, 64 percent of CFOs expect revenue growth in 2011, up from 61 percent last year.

"Despite the challenging economic climate, many CFOs have growing confidence that their companies have weathered the worst of the storm and are poised for expansion," said Laura Whitley, Global Commercial Products executive at Bank of America Merrill Lynch, who oversees the delivery of debt, treasury and liquidity solutions to more than 140,000 commercial and institutional clients. "Although concerns about the economy remain, the increase in CFOs who expect to hire employees could be crucial to improving the nation's unemployment rate."

Financial executives gave the current economy a score of 47 out of 100, up slightly from last year's score of 44 - the lowest in the 13-year history of the annual CFO Outlook. Despite that improvement, CFOs weren't as optimistic about U.S. economic growth. Only 56 percent said they expect expansion in 2011, compared to the 66 percent of CFOs who forecast economic growth a year ago.

Other notable findings in the survey:

• When asked what will have the biggest impact on the economy in 2011, CFOs ranked healthcare reform No. 1 at 54 percent, followed by the budget deficit at 52 percent and the housing market at 43 percent.
• Related to the above, CFOs' top financial concern by far is health care costs, followed by revenue growth and cash flow. The top concern last year was revenue growth.
• Only 27 percent of CFOs expect the cost of capital to increase, compared to last year when nearly half of CFOs expected a higher cost of capital.
• Executives at manufacturing companies generally were less positive about their sector than CFOs at services and commodities companies, which include construction, retail, transportation, finance, education, health care and food service businesses. Only 47 percent of manufacturing CFOs predicted expansion their sector vs. 58 percent of CFOs in other sectors.

Conducted by Granite Research Consulting, the CFO Outlook helps Bank of America Merrill Lynch better understand how financial executives view the economy. The results were compiled from phone interviews of 801 CFOs, finance directors and other executives selected randomly from U.S. companies with annual revenues between $25 million and $2 billion.

Interviews were conducted from mid-September to late October. The margin of error is /-4 percent. The full report will be available in January.

Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 57 million consumer and small business relationships with approximately 5,900 retail banking offices and approximately 18,000 ATMs and award-winning online banking with 29 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

Bank of America Merrill Lynch is the marketing name for the global banking and global markets businesses of Bank of America Corporation. Lending, derivatives, and other commercial banking activities are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., member FDIC. Securities, strategic advisory, and other investment banking activities are performed globally by investment banking affiliates of Bank of America Corporation ("Investment Banking Affiliates"), including, in the United States, Banc of America Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated, which are both registered broker-dealers and members of FINRA and SIPC, and, in other jurisdictions, locally registered entities. Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured * May Lose Value * Are Not Bank Guaranteed

www.bankofamerica.com

SOURCE: Bank of America Merrill Lynch

Reporters May Contact:Jefferson George, Bank of America Merrill Lynch, 1.980.683.4798jefferson.george@bankofamerica.com

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