TD posts loss as it budgets for fines

Bank expects global resolution to anti-money laundering problems to be finalized by year's end

- IAN BICKIS

TD Bank Group swung to a rare loss in its latest quarter as it took a $2.6billion (US) charge related to ongoing US investigations into its anti-money laundering program.

The charge led to a reported quarterly loss of $181 million (Canadian), but it also provided clarity on the expected total cost of the investigations after some speculation it could go even higher.

"The $2.6-billion provision we just announced, combined with the $450-million provision announced last quarter, represents our current estimate of the total fines to be paid related to these matters," chief executive Bharat Masrani told financial analysts on a conference call Thursday to discuss the company's latest results.

TD also added it expects a global resolution of the issues will be finalized by the end of the year.

"While we are not through the tunnel yet, we can see the light at the end of this journey," Masrani said.