(CHARLOTTE) -- Bank of America Corporation reported first quarter net income of $2 billion, or $0.17 per diluted share.  This compared with $3.2 billion, or $0.28 per diluted share during the same period of the previous year.

The Charlotte-based bank reported that in the frist quarter it experienced lower credit costs, gains from equity investments, and higher asset management fees and investment banking fees.  But these factors were partially offset by higher legacy mortgage-related costs, higher litigation expenses, and lower sales and trading revenue from the record levels reported in the first quarter of 2010.

“While still soft, the economy is healing; we see retail spending up versus the year-ago period and continued declines in bankruptcy filings and delinquency rates,”  said Chief Executive Officer Brian Moynihan.