SunTrust profits up on fee growth

Southeast regional bank SunTrust Banks has posted higher quarterly net profits, helped by growth in fee income.

Southeast regional bank SunTrust Banks has posted higher quarterly net profits, helped by growth in fee income.

The Atlanta-based bank, the ninth-biggest in the US, earned $343 million, or $1.20 a share, in the third quarter, compared with $334.1 million, or $1.15 a share, a year earlier.

SunTrust's profits rose despite a continued slack economy and weakness in the telecommunications industry that have pressured borrowers and left banks holding unpaid loans.

SunTrust shares closed at $54.44 a share yesterday. The stock fell about 2 per cent in the first three quarters this year, outperforming the Standard & Poor's bank index, which dropped about 6 per cent in that time.