Wells Fargo expects to gain better control of costs in relation to revenues, as it works to recover from a sales scandal, its chief executive s
Reuters reports that Tim Sloan, CEO of the third-largest U.S. bank, said at an industry conference hosted by Barclays that expenses will likely account for 60% to 61% of revenues in the second half of 2017, down slightly from the previous three quarters.
However, Sloan said the expense estimate does not include nonrecurring costs, including litigation costs that exceed the amount the bank has already set aside.
Wells Fargo does not disclose how much it sets aside for litigation, but said in its second-quarter financial filing that such costs could exceed that amount by as much as $3.3 billion. That number was $2 billion in the bank’s first-quarter filing.
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