Wells Fargo: Loyalty, satisfaction scores declined in September
Wells Fargo, in slides being presented on its Q3 earnings conference call, said it is targeting a total of $4B in expense reductions. Expects n additional $2B in annual expense reductions by the end of 2019, says these savings are projected to go to the "bottom line" and be fully recognized in 2020. Expected target savings exclude: Run-off of core deposit intangible amortization expense; Expected completion of FDIC special assessment by year end 2018; Expense saves due to sales of businesses. Says branch and ATM interactions of 374.2 million in Q3 were down 1% LQ and 6% YOY, reflecting continued customer migration to virtual channels, lower customer growth, and the impact from lower activity in hurricane-affected areas. Notes that with nearly 400,000 branch customer experience surveys completed during Q3, 'Loyalty' and 'Overall Satisfaction with Most Recent Visit' scores declined in September after its announcement of the expanded third party account review, which followed post-sales practice settlement highs for 'Loyalty' in July of 58.8% and 'Overall Satisfaction with Most Recent Visit' in August of 78.2%. Wells Fargo is down about 2.4% in premarket trading.