What does “Mandatory -Exchange” mean in STOCKS?

TWINPUMPS: What does “Mandatory -Exchange” mean in STOCKS?
07/01/2008 08:51:01 MANDATORY – EXCHANGE (CFC)

07/01/2008 08:51:01 MANDATORY – EXCHANGE (BAC)

???? im lookign at my dad’s stocks transactions

Answers and Views:

Answer by zman492
The following paragraph explains what happened:

“Shareholders of Countrywide Financial Corporation (“CFC/YJD”) voted on
Wednesday, June 25, 2008, and approved a proposed Merger between CFC and Red
Oak Merger Corporation, a wholly owned subsidiary of Bank of America
Corporation (“BAC/WBA”). Pursuant to the terms of the Merger, each share of
CFC Common Stock outstanding immediately prior to the consummation of the
Merger will be converted into the right to receive 0.1822 of a share of BAC
Common Stock. The Merger will become effective prior to the opening of
business on Tuesday, July 1, 2008.”

Shares of CFC had to be exchanged for shares of BAC, making it a mandatory exchange.