Bank of America 4Q profit falls 18% on lower interest rates

CHARLOTTE, NC (AP) — Bank of America’s fourth-quarter profit fell 18% from a year ago, as lower interest rates weighed down the bank.

However the bank was able to release more than $800 million from its credit reserves in a sign that it sees the U.S. economy improving in the coming months.

The North Carolina-based company said Tuesday that it earned a profit of $5.47 billion, or 59 cents a share, down from $6.99 billion, or 74 cents per share, in the same period a year earlier.

Analysts were expecting BofA to earn 56 cents a share, according to Zacks Investment Research.