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Loses $4 billion and cuts jobs

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The solvency of Swiss bank Credit Suisse remains in doubt after it posted losses in the range of $4 billion in the last quarter. This has prompted the financial institution to take desperate measures, including massive layoffs.

“The third quarter, and 2022 more broadly, was significantly impacted by continued difficult macroeconomic and market conditions, which led to a weaker performance for our bank,” Credit Suisse CEO Ulrich Koerner said in a note. report today, Oct. 27.

In one year the financial group’s shares fell 56 percent.while in the last 24 hours they are down 17 percent.

Koerner acknowledged that the bank’s performance was “disappointing” to its stakeholders. He announced that are taking a number of measures to refocus the bank.

Among the planned actions is cost reduction in the order of $2.5 billion by 2025. This includes laying off 2,700 people, representing a 5 percent reduction in the workforce, in addition to the divestment of non-strategic assets.

A plan to restructure the bank had already been on the table since early October, when Koerner himself expressed it. the bank was in a critical situationa fact that reported CryptoNews.

As Switzerland’s second-largest bank, the measures taken by the institution’s board of directors are aimed at preventing its collapse. In addition to this, a possible failure of Credit Suisse. is comparable to the collapse of Lehman Brothers.strongly associated with the 2008 global financial crisis. This would place the world economic scenario in a more critical situation than the current one.

It is worth mentioning that currently a wave of inflation world is The great powers, represented by the United States and Europe, are in checkmate. All this is a product of, among other things, the conflict between Russia and Ukraine, which has exacerbated energy markets.

A lire aussi :   Cristobal Pereira at Caracas Blockchain Week.

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