BofA profits fall as bank sets aside money for downturn

By KEN SWEET
AP Business Writer

NEW YORK (AP) — Bank of America’s profits fell by 8% in the third quarter as the bank set aside cash to cover potential loan losses. It’s the latest bank to start socking away money for a potential recession, as Wall Street’s biggest banks have become increasingly gloomy on the U.S. economy going into the winter. The nation’s second-largest bank said it earned $7.08 billion last quarter, or 81 cents a share, compared to a profit of $7.69 billion, or 86 cents a share, in the same period a year earlier. BofA put $378 million into its loan-loss reserves this quarter _ a similar level to Citigroup and Wells Fargo.