Comerica Reports Narrower-than-expected 3Q Loss

DALLAS (AP) — Shares of Comerica Inc. surged on Tuesday after the regional bank reported a narrower-than-expected quarterly loss and projected a modest slowdown in loans written off as not being repaid.

Comerica posted a loss applicable to common shareholders of $15 million, or 10 cents per share, for the three months ended Sept. 30, compared with a profit of $28 million, or 19 cents per share, for the same quarter last year.

For the latest quarter, analysts surveyed by Thomson Reuters expected a wider loss of 53 cents per share, on average.

Excluding preferred dividends paid to the federal government under the Treasury Department's financial rescue plan, Comerica posted a profit of $19 million in the latest quarter.

Shares of Comerica rose $1.48, or about 5 percent, to $31.85 in afternoon trading, after rising to a 52-week high of $32.30 earlier in the session.

The Dallas-based bank reported its provision for loan losses nearly doubled to $311 million from $165 million in the same quarter a year ago. But the provision was roughly flat compared with this year's second quarter, when the total stood at $312 million.