SAWT BEIRUT INTERNATIONAL

| 2 December 2022, Friday |

Swiss National Bank monitoring Credit Suisse situation

The Swiss National Bank (SNB) is closely monitoring the situation at Credit Suisse, said SNB Governing Board member Andrea Maechler on Wednesday.

On Monday, Switzerland’s second-largest bank’s shares fell as much as 11.5% and its bonds touched record lows, before recovering some of the losses, on concerns about the bank’s capacity to restructure its business without asking investors for more money.

“We are monitoring the situation,” Maechler said on the sidelines of an event in Zurich. “They are working on a strategy due to come out at the end of October.”

The SNB has declined to comment in the past about Credit Suisse, which has said it has a strong capital base and liquidity. It is due to announce details of a restructuring plan along with third-quarter results on Oct. 27.

In July, Credit Suisse announced its second strategy review in a year and replaced its chief executive, bringing in restructuring expert Ulrich Koerner to prune its investment banking arm and cut more than $1 billion in costs.

The bank is considering measures to scale back its investment bank into a “capital-light, advisory-led” business, and is evaluating strategic options for the securitized products business, Credit Suisse has said.

    Source:
  • Reuters