JPMorgan Reveals $2B Losses

    FILE - This Oct. 12, 2011 file photo shows the J.P. Morgan Chase logo at the base of one of the bank's larger Lower Manhattan buildings in New York. JPMorgan Chase said Friday, Jan. 13, 2012, its income fell 23 percent in the fourth quarter of 2011 after the bank set aside a large sum for litigation reserves and its investment banking income declined. (AP Photo/Kathy Willens, File)

    Kathy Willens / AP Photo

    JPMorgan Chase has disclosed $2 billion in losses from a trading group’s credit investments, causing the bank’s share price to plummet in after-hours trading. On a conference call, CEO Jamie Dimon blamed the losses on “egregious mistakes” in betting on the investments. These losses are expected to take a toll on the bank’s larger earnings, with the corporate group expected to lose $800 million in the second quarter, the company said today in its quarterly securities filings. JPMorgan had previously estimated that it would report a net income of roughly $200 million. The final report will depend on whether the company can recover, though Dimon said things could “easily get worse.”

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