UPDATE 2-Ameriprise to cut 70 funds from lineup

* Had purchased Bank of America’s Columbia Management unit

* Combining with RiverSource Investments

* Shares down 2.2 percent
(adds details on funds, jobs)

BOSTON, Aug 19 (BestGrowthStock) – Ameriprise Financial Inc (AMP.N: )
plans 62 mutual fund mergers including many from its recent $1
billion purchase of Columbia Management, the company said on
Thursday.

It also plans to liquidate eight target-date retirement
funds, the spokesman said.

Minneapolis-based Ameriprise paid about $1 billion to buy
most of the Columbia Management mutual fund business, centered
in Boston, from Bank of America Corp (BAC.N: ) in May.

Between them, the two companies, including Ameriprise’s
RiverSource Investments division had more than 200 funds before
the acquisition. an Ameriprise spokesman said.

Ameriprise said in a press release the proposed mergers
still needed the approval of shareholders and fund directors.
The mergers, if approved, were expected to close in the first
half of 2011, Ameriprise said.

The company “made personnel changes” before the purchase
was completed and that it “does not expect to eliminate
additional investment positions due to the proposed mergers.”

The spokesman said Columbia Management now has about 1,300
employees but did not give more details about employment, such
as what had become of portfolio managers whose funds will be
merged away or eliminated.

Ameriprise shares were down 2 percent to $43.82 in
mid-afternoon trading.
(Reporting by Ross Kerber; Editing by Steve Orlofsky, Leslie
Gevirtz)

UPDATE 2-Ameriprise to cut 70 funds from lineup