17 Oct 2009

Bank of America reports $1bn loss

8:51 am on 17 October 2009

Bank of America has reported a net loss of $US1bn for the three months from July to September, a result that was worse than had been expected.

The figure compares with a net profit of $US3.2bn in the previous quarter and $US1.2bn in the same period last year, the BBC reports.

It was announced on Wednesday that Kenneth Lewis, who is retiring as chief executive at the end of the year, would not receive any pay or bonus for 2009.

Bank of America is the fourth major US bank to report third-quarter results.

Citigroup exceeded expectations, posting a third-quarter profit of $US101 million on Thursday. The company lost billions in 2008, prompting the US government to step in with massive aid.

Goldman Sachs announced a $US3.19 billion profit in the third quarter, more than triple the amount from a year earlier.

On Wednesday, JPMorgan Chase reported its quarterly profit jumped to $US3.6 billion.