BofA: No decision on branch closings
Company spokesman is quoted as denying published report that 10% of its branches will close.
NEW YORK (CNNMoney.com) -- Bank of America Corp. responded Tuesday to conflicting reports of branch closings by saying that the company has not made any final decisions.
Earlier Tuesday, the Wall Street Journal reported that Bank of America's chief executive Kenneth Lewis told investors at a meeting last week that the company was planning to cut its branch network by 10%.
Later, bank spokesman James Mahoney told Reuters that the bank's 6,109 branch-network "will come down modestly" in size over three to five years, even as the bank builds new branches.
"We do not have a plan to reduce branches by 10%," Mahoney said.
The company said its banking centers are the "cornerstone of the company's distribution model" but added that customers are shifting toward mobile and online services.
"We are continually improving our online banking, mobile banking and ATM capabilities as more of our customers are using these channels for increased convenience."
Earlier this month, Bank of America reported better-than-expected second-quarter earnings. It was a bit of good news in a tough year for the company, which needed to accept $45 billion in government aid in the thick of the financial crisis and had CEO Kenneth Lewis step down as chairman for his handling of last year's merger with Merrill Lynch.