please explain why this would occur, page-6

"Regulators have told Bank of America Corp. and Citigroup Inc. that the banks may need to raise more capital based on early results of the government's so-called stress tests of lenders, according to people familiar with the situation.

The capital shortfall amounts to billions of dollars at Bank of America, based in Charlotte, N.C., people familiar with the bank said.

Executives at both banks are objecting to the preliminary findings, which emerged from the government's scrutiny of 19 large financial institutions. The two banks are planning to respond with detailed rebuttals, these people said, with Bank of America's appeal expected ..."

At http://online.wsj.com/article/SB124088901025362487.html

Comments:
If true, this is a good enough reason to smash gold. If true, would Bank of America be in this position if it had not merged with Merrill Lynch? The merger which was allegedly rammed down it with threats when Management said "No" and with Management allegedly hiding the abysmal financial condition of Merrill from a shareholders' vote.