Comerica Now Sees Tier I Common Ratio Of 9.4%

(RTTNews) - Comerica Inc. (CMA) Monday announced results of its Dodd-Frank Act Mid-year Stress Tests, which projected Tier I Common Ratio of 9.4 percent, compared to 10.6 percent at the end of the first quarter.

The firm said it remains well capitalized throughout the forecast horizon. In the DFAST BHC Severely Adverse Scenario, Tier I Common Capital declines around 120 basis points over the forecast horizon to 9.4 percent.

This decline is primarily due to an expected decline in core earnings as well as increased credit costs exceeding pre-provision net revenues or PPNR over the 9-quarter forecast horizon.

This is expected to result in a pre-tax net loss of $1.6 billion over the forecast horizon.

CMA closed marginally lower on Monday at $51.23.