Bank of America sees profits drop to $653m

Bank of America has reported a fall in first-quarter net income to $653m (£407m; 498m euros) after making $2bn a year ago.

The fall was caused by accounting charges related to its debt.

Revenue was $22.5bn compared with $27.1bn for the same period in 2011.

The bank's chief executive, Brian Moynihan, said the bank was stronger, with a rise in reserves, and its profitability had risen since the previous quarter.

The bank is one of the world's largest financial institutions, with some 57 million customers.

Bank of America's chief financial officer, Bruce Thompson, said it had increased its important reserves, known as Tier 1 capital, by 92 basis points from the fourth quarter of 2011.

Source & Image : BBC