Discover shares drop as company sets aside an extra $1 billion to guard against souring credit

Shares of Discover Financial Services slid after hours on Wednesday after the credit-card giant reported fourth-quarter profit that missed expectations and said it has set aside more money to cover potentially tougher conditions for consumers. The results are the latest in a bumpy ride over the past several months for Discover DFS, -0.84%, which has dealt with a leadership shake-up and questions about controls internally. The company’s provision for credit losses stood at $1.9 billion during the end of the ...