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| Version 3 | Version 4 |
|---|---|
| Goldman Sachs reports $393m loss on eurozone impact | Goldman Sachs reports $393m loss on eurozone impact |
| (about 1 hour later) | |
| Goldman Sachs has reported a quarterly loss, after its trading was "significantly impacted" by the debt crisis in the eurozone and the wider global economic uncertainty. | Goldman Sachs has reported a quarterly loss, after its trading was "significantly impacted" by the debt crisis in the eurozone and the wider global economic uncertainty. |
| The US bank made a net loss of $393m (£250m) for the third quarter of 2011. A year earlier, it made $1.9bn profits. | The US bank made a net loss of $393m (£250m) for the third quarter of 2011. A year earlier, it made $1.9bn profits. |
| Goldman's group-wide revenues fell 60% to $3.6bn, revenues at its investment banking arm declined 33%. | Goldman's group-wide revenues fell 60% to $3.6bn, revenues at its investment banking arm declined 33%. |
| Its quarterly loss was only its second since the bank's flotation in 1999. | |
| Goldman's results come after Bank of America reported a profit for the same period. | |
| European impact | European impact |
| Goldman's chief executive and chairman Lloyd Blankfein said: "Chief executive and investor confidence, as well as asset prices across markets, were lower in the third quarter given the uncertain macroeconomic and market conditions." | Goldman's chief executive and chairman Lloyd Blankfein said: "Chief executive and investor confidence, as well as asset prices across markets, were lower in the third quarter given the uncertain macroeconomic and market conditions." |
| Analyst Todd Schoenberger, managing director at Landcolt Trading, said the Goldman loss was not a big surprise. | Analyst Todd Schoenberger, managing director at Landcolt Trading, said the Goldman loss was not a big surprise. |
| He added: "The underlying cancer on all these reports is Europe, all these banks have risk from Europe and that region will continue to have a negative impact." | He added: "The underlying cancer on all these reports is Europe, all these banks have risk from Europe and that region will continue to have a negative impact." |
| Goldman's results were worse than market expectations. | |
| Mr Blankfein added that the bank remained strong for the future. | Mr Blankfein added that the bank remained strong for the future. |
| "We believe the strength of both our client franchise and our balance sheet positions us well for when economies and markets improve," he said. | "We believe the strength of both our client franchise and our balance sheet positions us well for when economies and markets improve," he said. |
| Sell-off | Sell-off |
| Bank of America made a net income of $6.2bn (£3.9bn) for the three months to 30 September, helped by asset sales and accounting gains. | Bank of America made a net income of $6.2bn (£3.9bn) for the three months to 30 September, helped by asset sales and accounting gains. |
| Its profit is a big turnaround from a year ago, when the bank reported a net loss of $7.3bn after it was hit by a one-off accounting charge of $10bn. | Its profit is a big turnaround from a year ago, when the bank reported a net loss of $7.3bn after it was hit by a one-off accounting charge of $10bn. |
| Bank of America said it had made a $3.6bn profit from selling half of its 10% stake in China Construction Bank. | Bank of America said it had made a $3.6bn profit from selling half of its 10% stake in China Construction Bank. |
| Bank of America is the largest bank in the US by assets. | Bank of America is the largest bank in the US by assets. |
| "Our focus this quarter was on strengthening the balance sheet by selling non-core assets and building capital to position the company for future growth," said Bank of America chief financial officer Bruce Thompson. | "Our focus this quarter was on strengthening the balance sheet by selling non-core assets and building capital to position the company for future growth," said Bank of America chief financial officer Bruce Thompson. |