JPMorgan Chase stocks drop 3.9% on selloff on ‘bad news’

The stock market is down 3.7% after JP Morgan Chase said its “bad news” on Thursday that it was considering filing for bankruptcy protection.

The bank said it was planning to cut $3.8 billion in annual revenue.

The stock was trading around $13.25 on Friday.

JPMorgan said it expects to complete its $7.4 billion deal to buy back its own shares, but that the sale may have to be delayed because of the government’s bankruptcy.

Shares of JPMorgan Chase (JPM) were down around 2% on Friday morning.JPMorchards stock has fallen by more than 5% in the past month, and the stock fell about 1% on Thursday after it reported that it planned to cut its $3 billion purchase of its own stock. 

The news came just one day after the Federal Reserve said that the bank may be forced to seek emergency relief from the U.S. government, which could require the bank to break up or sell its stakes.

Facing potential losses on a $7 trillion portfolio, JP Morgan has been weighing the cost of a restructuring, according to a Wall Street Journal report last week.