As legal woes mount, BofA raises estimate of possible litigation-related losses to $6.1B

|About: Bank of America Corporation (BAC)|By:, SA News Editor

Bank of America (BAC) says in its annual 10-K filing that the U.S. Attorney’s Office for the Eastern District of New York is investigating the bank’s compliance with the Federal Housing Administration’s direct endorsement program.

Also, government authorities in North America, Europe and Asia are conducting probes and launching inquiries into BAC's conduct and practices in certain foreign exchange markets over multiple years.

BofA bumped up by $1B its latest estimate of possible litigation-related losses to $6.1B vs. a year-ago estimate of $3.1B.

The bank also reached a deal with Berkshire Hathaway (BRK.A, BRK.B) to amend terms so that it will have to wait at least five years to redeem preferred stock bought in 2011.