WaMu's 2Q Profits Decline

Washington Mutual Inc., Seattle, has reported net income of $767 million ($0.79 per share) for the second quarter, down from $844 million ($0.95 per share) a year earlier, but the results include a $101 million after-tax adjustment for a pending sale of mortgage servicing rights to Wells Fargo (see previous item).In addition to the adjustment for the MSR sale, the income figures reflect a $52 million after-tax restructuring charge related to WaMu's efficiency initiatives. The company said net income excluding these two items would have been $920 million ($0.94 per share). Net income for the home loans business segment totaled $32 million in the second quarter, compared with $39 million in the first quarter and $292 million in the second quarter of 2005, WaMu said. WaMu can be found online at http://www.wamu.com.