Bank of America, the nation’s largest bank, has reported a net loss of $1.2 billion in the 4th quarter of 2010, its second quarterly loss in a row. Bank of America’s acquisition of Merrill Lynch and Countrywide in 2008 has affected its earnings positively and negatively.
Merrill Lynch’s 15,498 financial advisors are adding assets and increasing their revenue contributions. Year over year, the unit increased its total client assets 6% to $1.58 trillion and upped revenue 13% to $3.55 billion.
On the other hand, BofA took $12 billion of writedowns last year against mortgage businesses that included Countrywide. During the 3rd and 4th quarters of 2010, the writedowns caused the bank’s net losses with a combined loss of more than $8.5 billion.