KeyCorp, a bank-based financial services company, has reported that its net income for the first quarter of 2008 totaled $218 million, or $0.54 per diluted common share, a decline as compared to the net income of $350 million, or $0.87 per share, for the same quarter of 2007.
Income from continuing operations for the quarter was $218 million, or $0.54 per diluted common share, a decrease from the income from continuing operations of $358 million, or $0.89 per share, posted during the corresponding period of 2007.
During the period, Key recorded net losses of $101 million from loan sales and write-downs, $21 million from dealer trading and derivatives, and $6 million from certain real estate-related investments, for a total of $128 million in net losses. This compares to net gains of $22 million from these activities for the corresponding quarter of 2007.
Henry Meyer, chairman and CEO of KeyCorp, said: While Key’s first quarter earnings reflect the market volatility and rising credit costs facing the financial services industry as a whole, overall we are pleased that we achieved these financial results at the same time that we have taken steps to significantly reduce the company’s exposure to future market volatility and have continued to bolster our loan loss reserves.