Credit Suisse posts Q3 loss of 4b Swiss francs

CREDIT Suisse Group lost 4 billion Swiss francs (S$5.7 billion) in the third quarter, badly missing the average estimate of 413 million francs in a consensus compiled by the embattled Swiss bank which also unveiled its new strategy.

It booked a 3.7 billion franc impairment on deferred tax assets related to the strategy review.

Switzerland’s second-biggest bank saw a group net asset outflow of 12.9 billion Swiss francs in the quarter in “challenging” markets and as negative headlines swirled about the bank’s efforts to restructure after a series of scandals and risk-management failures.

Its CET1 capital ratio fell to 12.6 per cent from 13.5 per cent at the end of June. Analysts had expected 13.4 per cent. REUTERS