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LENDER/SERVICER PROFILE MEGA-SERVICER Bank of America Consumer Real Estate Services key personnel company vitals Ron Sturzenegger Legacy Asset Servicing Executive Corporate Headquarters: Charlotte, North Carolina Tony Meola Division Headquarters: Calabasas, California Default Servicing Executive Staffing » Servicing staff: More than 49,000 full-time employees and contractors within Legacy Asset and Servicing » Servicing sites: Offices in 41 cities, plus 50 dedicated customer assistance centers in 25 states servicing summary * Portfolio Growth Loan Count » 2012: 9.7M » 2011: 11.7M » Annual Change: -17% Unpaid Principal Balance (UPB) » 2012: $1.40T » 2011: $1.76T » Annual Change: -20% MSRs » 2012: $5.7B » 2011: $7.4B » Annual Change: -23% Delinquency Stats » 30+ day delinquency rate: 11.8% » Nonperforming loans, leases, foreclosed properties: $23.6B Loss Mitigation Stats » More than 1.57M foreclosures prevented since January 2008 » 1.16M mods and 386,000 short sales since January 2008 » $15.8B in consumer relief for 164,000 homeowners under the National Mortgage Settlement at the end of Q3 2012 REO Stats » REO holdings: $650M » Avg. days-to-market, post-eviction to closing: 176 for prime; 189 for subprime *Statistics as of Q4 2012 unless otherwise noted s tat e s s e r v ic e d* Phone: 800.987.6361 Online: BankofAmerica.com/mortgage Bank of America is the largest financial institution in the United States in terms of assets and deposits, with the largest active online customer base, according to FBR Capital Markets. The company has $2.2 trillion in assets, with "significant mortgage banking … operations," FBR notes. Bank of America's mortgage banking operations reside within its Consumer Real Estate Services group which includes the Home Loans division and Legacy Asset and Servicing. The company recently reported net income of $4.2 billion for the 2012 fiscal year. Mortgage banking income totaled $7.41 billion. company's l atest Portfolio Stats » Residential servicing portfolio: 9.7M loans; $1.4T (UPB) » Third-party servicing: Services for over 830 private investors Take a look inside the numbers 19% Florida 9% Texas January 18, 2013 Bank of America's Moynihan, Known for Fixing and Cutting, Must Now Build Brian Moynihan is known inside Bank of America Corp (BAC.N) as a problemfixer and a cost-cutter, and in his three years as the bank's chief executive, he has had that reputation tested like never before. Now, proof of his abilities is beginning to show. On Thursday, the bank said its mortgage lending volume was growing and expenses were falling in the unit that handles problem home loans. California —Reuters January 7, 2013 BofA Reaches Repurchase Claims Agreement with Fannie Mae Bank of America and Fannie Mae reached a $10.3 billion agreement Monday to resolve repurchase claims on loans originated from 2000 through 2008. The agreement also requires BofA to pay the GSE $1.3 billion in compensatory fee obligations. BofA simultaneously announced its intent to sell the servicing rights of 2 million mortgage loans to specialty servicers. These loans are owned by Fannie Mae, Freddie Mac, Ginnie Mae, and private-label securitizations. —DSNews.com key technology Short Sale: Equator REO Management: Equator Loan Workout: IBM's iSeries LS, supported by BofA enterprise systems Recent Implementations: Decision engine for default fees, CRM tool, and a borrower portal 7% Georgia 4% New York 4% *As of November 30, 2012 recognition » Ranked No. 15 among the nation's top 50 community-minded companies in 2012 by Bloomberg, the National Conference on Citizenship, and Points of Light » Listed as one of Military Times EDGE magazine's "Best for Vets: Employers" for three straight years » Named among 2012's "Top 100 Military-Friendly Employers" by G.I. Jobs magazine for the seventh year in a row » Recipient of two 2012 United Way Worldwide Summit awards origination summary* » » » » $75.1B in residential first mortgages 16% for home purchases 84% for refinances $3.6B in home equity credit *Statistics for FY 2012 servicer r atings Fitch Ratings: Residential Primary Servicer » RPS2-; Residential Special Servicer » RSS2Moody's Investors Service: » Primary Servicer, Prime » SQ2- » Primary Servicer, Subprime » SQ3+ » Primary Servicer, 2nd Liens » SQ2 » Special Servicer » SQ3 Standard & Poor's: » Residential Loan Servicer » AVERAGE » Subprime Loan Servicer » AVERAGE » Subordinate-Lien Servicer » AVERAGE » Residential Special Loan Servicer » AVERAGE verbosit y "We are resolving legacy mortgage issues while balancing the needs of our customers, mortgage investors, our shareholders, and communities. The sale of mortgage servicing rights to highly rated specialty servicing companies is an important step in that process." —Ron Sturzenegger, Legacy Asset Servicing Executive Sources: Bank of America (1/17/2013, 1/28/2013), FBR Capital Markets (1/18/2013), Fitch Ratings (9/24/2012), Moody's Investors Service (10/22/2012), Standard & Poor's (4/12/2012) 74