Wells Fargo swings to loss on higher provisions to cover soured loans

(Reuters) – Wells Fargo & Co swung to a loss in the second quarter after setting aside $9.5 billion to cover potential loan losses due to the coronavirus pandemic, the bank said on Tuesday.

The lender, which has been struggling to recover from a series of misselling scandals, reported a net loss of $2.4 billion, or 66 cents per share, for the quarter ended June 30, compared with a profit of $6.2 billion, or $1.30 per share, in the year-earlier period.

(Reporting by Noor Zainab Hussain in Bengaluru and Imani Moise in New York; Editing by Lauren Tara LaCapra and Anil D’Silva)