Credit Suisse Set to Reorganize Senior Management – Article | Investment News


ZURICH (Reuters) – Loss-making Credit Suisse could shake up senior management as new chairman Axel Lehmann seeks to put the struggling Swiss bank back on stable ground, Swiss Sunday newspaper NZZ am Sonntag reported.

Citing unnamed sources, the newspaper said chief legal officer Romeo Cerutti, chief financial officer David Mathers and regional Asia-Pacific director Helman Sitohang were set to step down.

These three people were the longest-serving members of the bank’s 12-member board.

Asked about the report, a spokesperson said the bank had implemented a new strategy and organizational structure announced last November, which emphasized wealth management and reduced investment banking.

“As part of this work, senior management under the leadership of the group CEO and the board regularly discuss succession plans and review senior management appointments for certain positions, including for certain legal entities, regions and the board,” she said. added.

“However, no board decision has been made and we will communicate when appropriate.”

Credit Suisse said last week it expected to report a loss in the first quarter after increasing legal provisions, seeing business activity slow and being hit by fallout from the Russian invasion of Ukraine.

That added pressure on chief executive Thomas Gottstein, who told a financial conference in March that business had been relatively strong in the first two months of the year.

The bank is still reeling from losses in 2021, prompting a senior management reshuffle, and as it faces further investigations into compliance and risk lapses, such as a hit $5.5bn following the implosion of investment fund Archegos and the collapse of $10bn in supply chain finance funds linked to insolvent UK financier Greensill.

It publishes its quarterly results on Wednesdays and holds its annual meeting on Fridays.

Proxy advisers Glass Lewis and ISS recommended shareholders vote against absolving the bank’s board and management of any liability for the 2020 financial year.

(Reporting by Michael Shields; Editing by Frank Jack Daniel)

Copyright 2022 Thomson Reuters.


Comments are closed.