Expense management

The New Jersey company reported lower third-quarter profit that included severance costs from a two-year program to boost its bottom line.

Profits at the custody bank rose 16%, but it announced a new streamlining program that is expected to generate yearly savings of $250 million by 2020.

Total revenue rose less than 1% to $21.8 billion, but expenses declined 2.5% to $13.1 billion. That computed to the highest profit at Bank of America in six years.

The company had strong gains in construction lending and trust fee income, but its business lending operation had flat results.

Overall net income rose 8% to $4.13 billion as cost control helped overcome shortcomings in global consumer banking profits and bond trading revenue.

The Seattle company, which has cut about 130 positions in the business in recent months, pointed to lower originations tied to a shortage of new and resale housing.

The Dallas company has extinguished talk of a potential sale after aggressively cutting costs over the past year. But concerns about its future — including its ability to find new sources of revenue — remain.

Chemical Financial's decision to shutter nearly 40 branches and cut more than 200 jobs is a result of improved technology and an effort to become more efficient after years of pursuing acquisitions.

The Michigan company said the branch closures will save it $20 million a year. It also plans to devote fewer resources to indirect auto, where returns have trailed other lending categories.

The Wisconsin company plans to shutter half of Bank Mutual's branches, including seven in Milwaukee.