Thursday, October 27, 2022

More Cracks In The International Banking System

 

CNBC: Credit Suisse shares plunge 17% as bank announces huge third-quarter loss and strategic overhaul 

* Credit Suisse has been plagued by sluggish investment banking revenues, losses relating to its business in Russia and litigation costs following a host of legacy compliance and risk management failures, most notably the Archegos hedge fund scandal. 

* The embattled lender posted a third-quarter net loss of 4.034 billion Swiss francs ($4.09 billion), compared with analyst expectations for a loss of 567.93 million Swiss francs. The figure is also well below the 434 million Swiss franc profit posted for the same quarter last year. 

Credit Suisse shares plunged 17% on Thursday after the Swiss bank posted a quarterly loss that was significantly worse than analyst estimates, and announced a massive strategic overhaul. 

Read more ....  

Update #1: Credit Suisse seeks billions from investors in make-or-break shake-up (Reuters)  

Update #2: Credit Suisse cuts 9,000 jobs to stem losses (BBC)  

WNU Editor: The Saudis are going to bail them out. This is astounding. Credit Suisse use to be a global Tier 1 bank. No more now.

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