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Bank of America takes $4 billion litigation hit
Bank of America takes $4 billion litigation hit

Bank of America said Wednesday that its second-quarter earnings were hit by higher litigation expenses. The Charlotte, N.C.-based bank earned $2 billion in the second quarter after payments to preferred shareholders, compared with $3.6 billion in the same period a year earlier, a decline of 43 percent. Revenue fell 4 percent to $21.9 billion from $22.9 billion. Per share, the bank's earnings worked out to 19 cents, compared with 32 cents a year ago. The bank's litigation costs of $4 billion crimped earnings by 22 cents a share. Bank of America also said that it had reached a $650 million settlement Tuesday with American International Group Inc. to resolve all...

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