Financial Winners and Losers: UBS

Financial stocks were mixed Friday, with UBS among the sector's winners after the Swiss bank reached a settlement with the U.S. government.
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(Updated with closing prices throughout.)



-- Financial stocks were mixed Friday, with


(UBS) - Get Report

among the sector's winners after the Swiss bank reached a settlement with the U.S. government.

A Justice Department official told a U.S. District Court Judge Friday that UBS and the U.S. and Swiss governments have reached a settlement in their recent tax case. The federal government was suing UBS for the names of some 52,000 U.S. citizens who are alleged to have hidden nearly $15 billion in assets from the Internal Revenue Service.

A month earlier, Swiss media outlets



NZZ am Sonntag

reported that UBS would fork over between 3 billion to 5 billion francs ($2.77 billion to $4.62 billion) to settle the tax dispute. A hearing scheduled for Monday was postponed until Aug. 10, at which point more details are expected to be released, according to

The Wall Street Journal


UBS shares jumped 95 cents, or 6.9%, to finish at $14.74, making it one of the best performing financial stocks Friday.

Bank of America

(BAC) - Get Report

was also among winning bank stocks Friday on a report it is planning to set up a wholly owned banking unit in China.

Citing people familiar with the situation,


reported that BofA will use this China-incorporated unit to focus on corporate lending and investment banking activities. BofA shares climbed 82 cents, or 5.9%, to $14.79.


(MA) - Get Report

shares gave up early gains and finished lower even after Credit Suisse upped its price target for the credit card company to $210 from $185. On Thursday, MasterCard beat Wall Street's top- and bottom-line estimates when it reported second-quarter earnings. Shares slipped 8 cents, or 0.1%, to $194.03, having climbed 3% Thursday.

Other bank and financial stocks were mixed.


(C) - Get Report

overcame early weakness to close 1% higher at $3.17. Among other advancers,

JPMorgan Chase

(JPM) - Get Report


Goldman Sachs

(GS) - Get Report

tacked on 0.5%, while

Wells Fargo

(WFC) - Get Report

shed 1.7%.

In bank-related news,

New York Attorney General Andrew Cuomo

said bonuses paid to executives at nine banks that received U.S. government bailout money in 2008 were greater than net income at some of the banks.

In a report on months of investigation into compensation paid by the banks, Cuomo said bank employee pay "has become unmoored from the banks' financial performance," according to the report.

-- Written by Robert Holmes in New York