BofA earnings fall 43 per cent

Bank of America Corp, the second- biggest US bank, said profit declined 43 per cent on costs tied to mortgage disputes, including a settlement with American International Group Inc.

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Published: Thu 17 Jul 2014, 11:05 AM

Last updated: Fri 3 Apr 2015, 7:26 PM

Net income fell to $2.29 billion in the second quarter, or 19 cents a share, from $4.01 billion, or 32 cents, a year earlier, the Charlotte, North Carolina-based firm said on Wednesday in a statement.

Earnings excluding litigation costs were 41 cents a share. The average estimate of 24 analysts surveyed by Bloomberg was 29 cents.

Mortgage-related legal costs continue to dog Brian T. Moynihan, 54, in his fifth year as chief executive officer. Through the first quarter, the bank had booked more than $55 billion in expenses tied to home loans, foreclosures or bonds backed by mortgages, mostly because of his predecessor’s 2008 purchase of subprime lender Countrywide Financial Corp.

Published: Thu 17 Jul 2014, 11:05 AM

Last updated: Fri 3 Apr 2015, 7:26 PM

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