CIBC reported a narrow second quarter loss on Thursday as it took charges in its structured credit business.

The bank said its net loss narrowed to $51 million, or 24¢ a share, in the second quarter ended April 30 from $1.1 billion, or $3 a share, in the year earlier period.

“Losses in structured credit did impact our results, but the bulk of these losses occurred early in the quarter before market conditions improved, said CEO Gerald McCaughey in a release.

Excluding the charges and special items, cash earnings per share were $1.44, the bank said.

“The rate of deterioration in the broader economy appeared to slow and liquidity levels recovered during the quarter — both of which are encouraging signs as we head into the last half of the year,” McCaughey said.

CIBC’s retail markets business reported net income of $390 million. Revenue of $2.3 billion was comparable to the second quarter of 2008, the bank said. Loan losses were $403 million, up from $209 million a year ago, and included $90 million of higher allowances for future losses.

Wholesale banking reported a net loss of $373 million for the second quarter. In the bank’s corporate loans portfolio, loan losses were $46 million, which included a $28 million increase to the general allowance for credit losses.

IE