The warrants in Bank of America held by the Treasury Department in exchange for funds the bank received through the Troubled Asset Relief Program could be worth about $1.5 billion, according to recent calculations. The amount is more than $200 million more than previous estimates. "This revelation is good news for taxpayers," said Linus Wilson, an assistant finance professor at the University of Louisiana at Lafayette. "Bank of America's shareholders will have to pay a higher price for the warrants or face potential dilution."
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