New Issue: Bank of America sells $10.68 million Stars linked to S&P 500 index

By Susanna Moon

Chicago, Feb. 23 - Bank of America Corp. priced $10.68 million 0% Strategic Accelerated Redemption Securities due Feb. 28, 2012 based on the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be called at a premium of 8.35% per year if the index closes at or above its initial level on any of three observation dates.

For each $10.00 principal amount, the call amount will be $10.7730 if the notes are called on Feb. 23, 2011, $11.1595 if called on Aug. 23, 2011 and $11.5460 if called on Feb. 21, 2012.

If the notes are not called, investors will receive par if the index falls by up to 10% and will be exposed to any losses beyond the threshold.

Merrill Lynch, Pierce, Fenner & Smith Inc. and First Republic Securities Co., LLC are the underwriters.

Issuer:	Bank of America Corp.
Issue:	Strategic Accelerated Redemption Securities
Underlying index:	S&P 500
Amount:	$10.68 million
Maturity:	Feb. 28, 2012
Coupon:	0%
Price:	Par of $10
Payout at maturity:	Exposure to losses beyond 10%; otherwise, par
Call:	At premium of 7.73% per year if index closes at or above initial level on Feb. 23, 2011, Aug. 23, 2011 or Feb. 21, 2012
Initial index level:	1,109.17
Threshold level:	998.25, or 90% of initial level
Pricing date:	Feb. 19
Settlement date:	Feb. 26
Underwriters:	Merrill Lynch, Pierce, Fenner & Smith Inc., First Republic Securities Co., LLC
Fees:	1%
Cusip:	06052H304

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