Bank of America vs Gun Company

[YogiBear]

Aloha,

It seems that Bank of America isn't so "American", Doesn't want business of an American firearms maker.

http://dailycaller.com/2012/04/20/anti- ... z1sgsNS7pA

Plus, the major American news media has Not said anything about it.

[mundaire]

If nothing else, sounds like bad business on the part of Bank of America. BTW, what are the "risks" to a banker if their client is in the firearms manufacturing business?

Cheers!
Abhijeet

[xl_target]

I believe that there are no tangible risks to BOA. It was a matter of someone's personal opinion apparently.

Here is a quote from another forum:

I suspect this was a purely economic decision. Bank of America and other banks are not being pressured by the government to divest specific industries or sectors, but the Federal Reserve is putting huge pressure on the largest banks to increase capital and reduce their risk of losses. The only way the largest banks can meet the Federal Reserve's requirements is to carefully assess the risk and profitability of all of the bank's business relationships and cull those clients at the bottom of the list.

However, one of the few bright spots in the US economy all through the last economic downturn has been the gun and ammo industry. Also with the elections coming up, we are entering another period of intense gun/ammo buying. The shortages are already starting. Ruger stopped taking distributor's orders till the first of May because they are so backed up. So removing a company like McMillan from their list of customers doesn't make sense.


There are various conspiracy theories floating around too. BOA was one of the companies that took a bailout from the Federal Government. The Government still owns a large part of their business. Some people opine that this is anti-gun action is being driven by the Feds.

Needless to say, there was a huge backlash and BOA is denying that any such thing happened (on their Facebook page)

Interview with Kelly McMillan - Hear it from the horses mouth

Snopes claims that this is undetermined but then Snopes has never been a big gun supporter.

[boris]

In an american military forum run by ex Green Berets all of them are totally angry at this thing.