Deutsche Bank to slash 18,000 jobs, exit trading, in ‘most fundamental transformation’ in decades, says CEO
Bank will post a net loss of €2.8 billion, or $3.14 billion.
From the Equity Insider archive. This article dates from Jul 8, 2019 and is preserved as first published.
Bank will post a net loss of €2.8 billion, or $3.14 billion.
Germany’s struggling Deutsche Bank says it will cut 18,000 jobs by 2022 in a sweeping restructuring aimed at restoring consistent profitability and improving returns to its shareholders.
The Frankfurt-headquartered bank said Sunday it would drop its stock sales and trading unit as part of a plan to exit more volatile investment banking activities.
The Frankfurt-headquartered bank said Sunday it would drop its stock sales and trading unit as part of a plan to exit more volatile investment banking activities.
It says it will also bundle 74 billion euros of assets, or $83 billion, into a separate unit for disposal, freeing capital reserves to pay for the restructuring.
The troubled lender also said it would sell its electronic equities and prime finance businesses to Paris-based bank BNP Paribas BNP, +1.12% , according to Paul Clarke of MarketWatch affiliate Financial News.
“Today we have announced the most fundamental transformation of Deutsche Bank in decades,” wrote Christian Sewing, chief executive officer at Deutsche Bank, in a written statement.
The job cuts would reduce the workforce to 74,000. The restructuring intends to take out 6 billion euros in costs.
Deutsche Bank DBK, +2.47% has struggled with regulatory penalties and fines, weak profits, high costs and a falling share price.
