High costs haunt Wells Fargo results years after scandal

Like chief executives before him, new CEO Charlie Scharf, (pic) now one year on the job, has made cost cuts a cornerstone of his turnaround plan. He targeted $10 billion in savings annually over the long term, but investors are growing impatient.

NEW YORK: Wells Fargo & Co's profit plunged 57% in the third quarter, missing Wall Street's expectations as persistent costs tied to its years-old sales practices scandal continued to haunt the bank.

Like chief executives before him, new CEO Charlie Scharf, now one year on the job, has made cost cuts a cornerstone of his turnaround plan. He targeted $10 billion in savings annually over the long term, but investors are growing impatient.