Credit Suisse, hit by scandals and losses, rushes into a restructuring plan.
Credit Suisse has offered to buy up to $3 billion in debt securities, the Bloomberg news agency reported on Friday. Hit by scandals and losses, Switzerland’s second-largest lender and one of the world’s largest investment banks is rushing through a restructuring plan.
Switzerland’s second-largest bank has slipped into losses this year. He has has been embroiled in a series of setbacks in recent years, including a spy scandal involving UBS and fines for failing to prevent money laundering linked to a Bulgarian criminal gang 15 years ago.
Current Credit Suisse Group management said the bank was at a “critical juncture” as it prepared for an overhaul. CEO Ulrich Koerner, who took charge of the lender after the resignation of Thomas Gottstein, urged staff not to confuse day-to-day stock market movements with the bank’s “strong capital base and liquidity position”. .
Credit Suisse’s financial situation has fueled fears of a contagion effect in a situation similar to that of 2008, but many analysts believe this is unlikely, given the overall strength of the global financial system today that during the global financial crisis.