This excerpt taken from the BAC 8-K filed Jan 22, 2009.
WHEREAS, the Investor may from time to time agree to purchase shares of preferred stock and warrants from eligible financial institutions under the Troubled Asset Relief Program (TARP);
WHEREAS, the Company agrees to expand the flow of credit to U.S. consumers and businesses on competitive terms to promote the sustained growth and vitality of the U.S. economy;
WHEREAS, the Company agrees to work diligently, under existing programs, to modify the terms of residential mortgages as appropriate to strengthen the health of the U.S. housing market;
WHEREAS, the Company intends to issue in a private placement 800,000 shares of its preferred stock designated as Fixed Rate Cumulative Perpetual Preferred Stock, Series R (the Preferred Shares) and a warrant to purchase 150,375,940 shares of its Common Stock (Common Stock) (the Warrant and, together with the Preferred Shares, the Purchased Securities), and the Investor intends to purchase (the Purchase) from the Company the Purchased Securities under TARP.