Bank of America posts $1.8B quarterly loss

Bank of America this morning reported its first quarterly loss in 17 years.

The Charlotte, N.C.-based bank posted a net loss of $1.79 billion in the fourth quarter, compared to a $268 million profit in fourth-quarter 2007. The net loss applicable to shareholders was $2.39 billion, or 48 cents per share, according to a news release.

The quarter's results were driven by climbing credit costs, including additions to reserves, and large writedowns and trading losses in the capital markets businesses, the release said.

For the year, the company made a $4.01 billion profit, compared to a $14.98 billion profit in 2007. Earnings available to shareholders for the year were $2.56 billion, or 55 cents per share, down from $14.8 billion, or $3.30 per share last year.

The earnings report came just hours after Bank of America received another $20 billion through the U.S. Treasury's Troubled Assets Relief Program to save Merrill Lynch & Co., which lost $15.31 billion in the fourth quarter. Bank of America acquired Merrill Lynch on Jan. 1.

The bank declared a first-quarter dividend of 1 cent per share, payable March 27 to shareholders of record on March 6.

Bank of America shares (NYSE: BAC) closed Thursday at $8.32 and were trading down at $7.33 as of 11:30 this morning. The 52-week range is $7.35 to $45.08.