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Wells Fargo Plunges After First Quarterly Loss Since 2008

  • Lender cut its dividend to 10 cents a share from 51 cents
  • Loan-loss provision was $4 billion more than analysts expected
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Wells Fargo Reports First Quarterly Loss Since 2008
Updated on

Wells Fargo & Co. plummeted after reporting its first quarterly loss since 2008 as loan-loss provisions soared with the bank expecting a more severe downturn from the coronavirus pandemic.

The firm set aside a record $9.5 billion for credit losses, about $4 billion more than analysts had expected. Wells Fargo executives had warned they would earmark more for soured loans than the first quarter’s $4 billion as the pandemic continues to rage throughout the U.S. and weigh on companies and workers.