Shares tank for failed Signature Bank’s supposed savior.

Shares of Signature Bank, which was hailed as the saviour of the failed bank, plunged after the lender reported worse-than-expected earnings and took a hefty provision against loan losses. Net interest income fell 3% from a year ago due to higher loan losses and declining interest rates, while non-interest expenses rose by 5% due to higher compensation costs. Signature Bank expects loan losses to increase in the coming months due to the economic downturn caused by the coronavirus pandemic. The bank’s share price fell by more than 30% in response to the earnings report.

Key points:

– Signature Bank’s shares plunged after the lender reported worse-than-expected earnings and took a hefty provision against loan losses.
– Net interest income fell 3% from a year ago due to higher loan losses and declining interest rates.
– Non-interest expenses rose by 5% due to higher compensation costs.
– Signature Bank expects loan losses to increase in the coming months due to the economic downturn caused by the coronavirus pandemic.
– The bank’s share price fell by more than 30% in response to the earnings report.