Bank of America’s Earnings Shrink on Mortgage Settlements

NEW YORK — Bank of America says its fourth-quarter earnings shrank as it cleaned up old problems from its mortgage unit. The bank made $367 million in the last three months of 2012 after paying preferred dividends, down from $1.6 billion in the same period a year ago. The earnings were equivalent to 3 cents per share. The bank had warned that it expected earnings to be only “modestly positive.”...