Morgan Stanley's loss is narrower than expected
Associated Press, New York | Thu, 01/19/2012 6:58 PM
Morgan Stanley lost US$275 million in the fourth quarter on a settlement with bond insurer MBIA, but the investment bank's loss was less than Wall Street was expecting.
The bank reported a profit of $600 million in the same period a year ago.
The loss was equivalent to 15 US cents per share, less than the 43 US cents per share analysts were expecting, according to financial data provider FactSet.
The bank took a charge of 59 US cents per share related to a settlement with MBIA.
Revenue of $5.7 billion was down from $7.7 billion a year ago.
The bank's institutional securities unit posted a 68 percent decline in revenue. That business helps clients with services like packaging securities and trading currencies.
Morgan Stanley's stock rose 5 percent in pre-market trading.
