Another minus at Credit Suisse – will Saudi Arabia save the bank?

updated

Extraordinary general meetingAnother billion minus at Credit Suisse – will Saudi Arabia save the bank?

CS expects a loss of CHF 1.5 billion in the fourth quarter. The general meeting will decide on Wednesday whether the shareholders around the Saudi National Bank will increase the capital of ČS.

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Credit Suisse provided its outlook for the fourth quarter on Wednesday. The bank is at a loss again.

Reuters

An extraordinary general meeting will be held on Wednesday morning.

An extraordinary general meeting will be held on Wednesday morning.

20 min/Ela Celik

It’s about it

  • Another minus for CS: The ailing large bank expects red numbers for the fifth quarter in a row.

  • On Wednesday, the extraordinary general meeting will deal with the fundamental increase of the bank’s capital.

  • The general meeting is held without the personal participation of shareholders and is not broadcast on the Internet.

Die Swiss credit expects a loss of CHF 1.5 billion in the fourth quarter, as announced in a press release. In particular, the deep red numbers of the investment bank contribute to this. This is how she drives sick bank a huge negative for the fifth quarter in a row. At the same time, she “began the rapid implementation of measures to create a new Credit Suisse and speaks of a “radical restructuring” of the bank.

No questions are allowed at the general meeting

At the extraordinary general meeting on Wednesday morning, it will also be decided whether the shareholders of ČS will increase the bank’s capital. This is a gross revenue of around four billion francs. Semi-public Saudi National Bank is to take over 9.9 percent of the shares.

Wednesday’s annual general meeting will take place without the presence of shareholders in person and will not be webcast. There will be no critical questions from shareholders because: Questions are not allowed. Compared with “Tages-Anzeiger”, Vincent Kaufmann from shareholder representative Ethos therefore called GM a “joke” in advance.

The bank wants to shrink after its fifth straight quarterly loss. He wants to focus on Swiss business as well as wealth management and asset management, such as pension fund assets. It is massively downsizing the investment bank, cutting 9,000 of its 52,000 jobs. The restructuring of the crisis-ridden bank is expected to cost CHF 2.9 billion.

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(dpa/fis)

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