U.S. Bancorp profit rises, but write-offs continue
U.S. Bancorp's quarterly profit nearly quadrupled from last year, to $862 million, even as write-offs for bad loans increased slightly.
The bank said the profit was driven by a revenue that rose almost 9 percent compared with last year, and by lower credit costs.
Total net revenue was more than $4.5 billion, and the profit worked out to 45 cents per share. Both were higher than analysts had expected.
The bank charged off $1.11 billion in bad loans during the second quarter. That was 20 percent higher than the same period last year. U.S. Bancorp says the bad loans rose as the economy worsened, with weakness in both residential and commercial real estate. Still, U.S. Bancorp's loan portfolio has performed better than many competitors.
(Copyright 2010 by The Associated Press. All Rights Reserved.)
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