On Friday, Bank of America announced that 4 new directors joined its Board of Directors. For a board of 18 members a turnover of 4 directors may not seem too radical. However, it is the new composition of the board and the reasons why it made the move that are noticeable.
Bank of America is another large publicly-held company that is moving towards an “expertise” board. As we have posted in the past and written about in Acredula articles, an “expertise” board, as we define it, is a board composed of persons each having particular skills or expertise needed for the board to have as a whole, all of the skills and expertise necessary to achieve its future objectives.
It is being reported that the move was “aimed at satisfying strong suggestions from federal regulators” that Bank of America improve its corporate governance. The 4 new directors would support that position as each has experience in banking or financial oversight-one former Federal Reserve Governor, one former FDIC Chairman, and two former banking executives.