KeyCorp KEY stock fell 2.2% in premarket trades after the regional bank missed its first-quarter earnings target because of a build up in credit loss allowance and reported a drop in deposits. KeyCorp said its first-quarter net income fell to $275 million, or 30 cents a share, from $420 million, or 45 cents a share, in the year-ago quarter. The company fell short of the analyst estimate of 44 cents a share. The latest quarter included 14 cents a share to build up its allowance for credit losses “to reflect changes in our economic outlook.” First-quarter revenue at KeyCorp rose slightly to $1.714 billion from $1.696 billion, but missed the analyst estimate of $1.79 billion. Average deposits fell $6.8 billion to $143.4 billion. “The successful de-risking of our loan portfolios over the last decade positions Key to outperform, from a credit perspective,” the company said.
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