Wells Fargo, the fourth-largest US bank by assets, on Wednesday posted record Q3 profits as revenues outstripped loan losses, and savings from its merger with East coast rival Wachovia began to materialise. Net profit almost doubled to $3.2bn over the same quarter last year, boosting diluted EPS by 14% to 56 cents. However, FT Alphaville has an interesting take on Wells’ ‘Pandora’s box’ of commercial real estate loans.
