CIBC today reported an increased in fourth-quarter earnings despite the bank taking a big charge related to fallout from the U.S. subprime mortgage market and the global credit crunch.

The bank said it made $884 million for the quarter ended October 31, or $2.53 a share. In the same quarter of last year, it made $819 million, or $2.32 a share.

CIBC took a $463 million pre-tax charge on write-downs on collateralized debt obligations and residential mortgage-backed securities related to the U.S. residential mortgage market. That charge trimmed 89¢ from the company’s bottom line.

However, a $456-million pre-tax gain from restructuring of Visa wound up adding $1.13 to CIBC’s per-share profit.

“CIBC delivered good overall financial results in 2007, underpinned by our progress against our priorities,” Gerry McCaughey, CIBC’s president and CEO, said in a release.

“However, the mark-to-market write-downs we recorded in our structured credit business were not in line with our strategic imperative of consistent and sustainable performance. Our focus in this area is on reducing existing risk,” he said.

The bank’s return on equity for the fourth quarter was 30.3%, down from 32.5% for the same period last year.