Morgan Stanley's Loss Is Narrower Than Expected

Published January 19, 2012 1:09PM (EST)

NEW YORK (AP) — Morgan Stanley lost $275 million in the fourth quarter on a settlement with the bond insurer MBIA, but the investment bank's loss was less than Wall Street was expecting.

The bank reported a profit of $600 million in the same period a year ago.

The loss was equivalent to 15 cents per share, less than the 43 cents per share analysts were expecting, according to financial data provider FactSet.

The bank took a charge of 59 cents per share related to a settlement with MBIA.

Revenue of $5.7 billion was down from $7.7 billion a year ago.

The bank's institutional securities unit posted a 68 percent decline in revenue. That business helps clients with services like packaging securities and trading currencies.

Morgan Stanley's stock rose 5 percent in pre-market trading.


By Salon Staff

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