Business Economy News

Credit Suisse announces management reshuffle, Q1 loss

ZURICH (Reuters) -Credit Suisse on Wednesday posted a 273 million Swiss franc ($283.6 million) first-quarter loss, extending the embattled lender’s losing streak after a slew of scandals and as it announced another set of top management departures.

The bank had warned last week that it expected a loss for the quarter after increasing legal provisions, seeing business activity slow and taking a hit from the fallout of Russia’s invasion of Ukraine.

The first-quarter loss was steeper than the 252 million franc loss it posted a year before and marked its fourth quarter in the red out of the last six.

The bank also announced the departure of three of its longest-standing executives, saying Chief Financial Officer David Mathers would depart as soon as a suitable successor was found, while Group General Counsel Romeo Cerutti would retire after more than ten years, to be replaced by former UBS General Counsel Markus Diethelm.

It named Edwin Low head of its Asia-Pacific business, confirming sources’ statements from Wednesday that Low would be replacing veteran banker Helman Sitohang.

Credit Suisse (SIX:CSGN) has been trying to reform its risk management culture and turn the page on a series of scandals, which have prompted multiple rounds of top management shake-ups, abrupt departures, and internal and external probes.

The first-quarter loss, on the back of a 703 million franc increase in litigation expenses, heaps further pressure on Switzerland’s second-biggest bank, which is still reeling from billions in losses racked up in 2021 and as shareholder pushback grows over what has been described as a freewheeling culture.

($1 = 0.9627 Swiss francs)

Source : Reuters

Leave a Reply

Your email address will not be published. Required fields are marked *