February 6, 2014 / 1:15 PM / 4 years ago

CORRECTED-Ally Financial profit hurt by settlement charge

(Corrects first paragraph Ally being majority owned by the U.S. government to partially owned)

Feb 6 (Reuters) - Ally Financial Inc, the auto lender owned in part by the U.S. government, posted a lower quarterly profit, hurt by a $98 million charge related to a settlement with federal regulators.

The Detroit-based company, once the auto lending arm of General Motors Co, said net earnings fell to $104 million in the fourth quarter, from $1.44 billion a year earlier.

Last year’s results got a boost from an $856 million tax benefit.

Ally had agreed to pay $98 million in December to settle allegations by regulators that it discriminated in auto lending against black, Hispanic and Asian/Pacific Islander borrowers. (Reporting by Tanya Agrawal in Bangalore; Editing by Maju Samuel)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below