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Ally Financial profits cushion ResCap losses

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The Detroit-based company, once the auto lending arm of General Motors, said it earned $1.44 billion, in the fourth quarter, compared with a loss of $206 million, a year earlier.

Ally said the results include a $46 million loss from its Residential Capital mortgage unit, which filed for bankruptcy in May to protect the parent from its liabilities, a $94 million pension expense and a $148 million charge related to an early repayment of debt.

 
Source: Reuters
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