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Bank of America Corp. today reported second quarter net income of $3.41 billion for the second quarter ended June 30, down 40.8% from $5.76 billion during the same period last year. Net income for the card services segment was $402 million, a decrease of 54.7% from $888 million. Net card interest income was $4.7 billion, up 17.5% from $4 billion in the second quarter of 2007. Noninterest income was $1.9 billion, down 9.5% from $2.1 billion. BofA's average managed credit card outstanding balances during the quarter totaled $187.2 billion, up 10.2% to $169.9 billion. Purchase volume on U.S. cards was $61 billion, down slightly from $61.3 billion in the second quarter a year ago. Net charge-offs were up 140%, to $3.6 billion, or 1.7% of total average loans and leases, compared with $1.5 billion, or 0.8%, in the second quarter of 2007.

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