Bank Results Basically Come Down To Legal Bills

Goldman and Citi know what we're talking about.

That pen is really bearing the brunt of this bad news.

Got some big ones? Bad quarter. Didn’t? Goodquarter!

Goldman Sachs Group Inc. reported a drop in quarterly profit after the Wall Street firm set aside more than $1 billion to cover legal costs and debt-trading revenue fell. Citigroup’s expenses fell 30% to $10.93 billion from $15.52 billion a year earlier, largely because of much smaller legal costs. BofA, which has paid at least $70 billion in legal expenses since 2008, said its legal costs fell for the second straight quarter, suggesting the bank was finally putting to rest its problems stemming from the crisis.

Goldman Sahcs Posts Weaker Results on Big Litigation Provision [WSJ]
Citigroup Profit Soars on Lower Litigation Costs [WSJ]
BofA profit soars as costs fall to lowest since 2008 [Reuters]