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Bank of America Corp.'s board continues to consider insiders Greg Curl and Brian Moynihan, as well as least two outside candidates, in its search to replace chief executive Ken Lewis, the Wall Street Journal reported late Sunday.
The Journal said Bank of New York Mellon Corp. CEO Bob Kelly remains in consideration, although he has repeatedly expressed he's not interested.
“The process could be completed by Thanksgiving,” said bank spokesman Scott Silvestri, declining to comment further on the search.
Curl, the bank's 61-year-old chief risk officer, and Moynihan, the bank's 50-year-old consumer bank head, have been considered the top internal candidates since the search began last month. Moynihan, who joined the bank in its 2004 FleetBoston Financial acquisition, is considered a favorite of the board's former Fleet directors, while Curl is likely backed by a Charlotte contingent inside the bank.
Although the board may not use his suggestions, the Journal said that Lewis presented three options to the board on Oct. 5:
-- Name Curl as CEO to give the board time to assess three younger executives: Moynihan, investment banking head Tom Montag and home loans head Barbara Desoer. Curl is a low-profile insider who for years was the bank's strategy executive. The knock against him could be his heavy involvement in negotiating the bank's troubled Merrill Lynch acquisition.
-- Name Moynihan to the position immediately. He has run a number of businesses for Lewis, but also has ties to the Merrill acquisition. He is set to testify to Congress about his role on Nov. 17. Moynihan also isn't known for strong communication skills at a time the bank might want a personality that can rally employees.
-- Name an outside candidate, although Lewis told the board that could hurt stability inside the bank and drive off top executives. Besides Kelly, high-profile candidates that have resisted the bank's advances are Barclays president Bob Diamond and BlackRock Inc. CEO Larry Fink.
Bank analyst John McDonald of Sanford C. Bernstein & Co., said today that investors have largely favored an outside candidate but “some now want certainty” about the CEO position. Lewis has said he's leaving by year's end.
While the bank has been turned down by high-profile sitting CEOs, McDonald noted that shouldn't be seen as a condemnation of the bank because they have premier jobs already. He said the search is highlighting the dearth of chief operating officers and business unit heads that are either up to the task or interested in the job, he said.
