"BoA decided to charge themselves $10.4 billion in anticipation of a future decline in consumer banking revenues. Before this charge BoA earned $0.27 a share which works out to a $3.1 billion profit. Accountants and analysts call it a "non cash goodwill impairment charge" and it doesn't impact regulatory capital ratios. The plain and simple version is BoA expects to lose a certain amount of income in the future so they preemptively reduced their assets now while the funds are avaiable. The future loss of income centers around new laws reforming the fees banks can charge consumers to use their debit cards."
Poor them. BoA can't gouge their customers.
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