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Legal Expenses Sink Bank of America Earnings

Bank of America posted a first-quarter loss as the No. 2 U.S. bank recorded $6 billion in litigation expenses related to a settlement with the Federal Housing Finance Agency and other mortgage-related matters.

The bank reported a net loss attributable to shareholders of $514 million, or 5 cents per share, in the three months to March 31 compared with a profit of $1.11 billion, or 10 cents per share, a year earlier.

The previous quarter's results were hit by $1.6 billion in charges related to disputes with bond insurers.

Bank of America results follow reports from several other big banks. Earlier this week, Citigroup topped revenue and earnings estimates while Wells Fargo saw profit rise as costs fell.

Late last month, BofA announced a settlement with the FHFA and the New York Attorney General, which included a cash payment of $6.3 billion.

-- CNBC contributed to this report.