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☆ What happened at Credit Suisse and how did it reach crisis point?
▼ + stars: | 2023-03-16 | by ( Anshuman Daga | ) www.reuters.com time to read: +4 min

In December, Credit Suisse had tapped investors for 4 billion Swiss francs. Credit Suisse shares have lost more than 75% of their value over the past twelve months. Reuters Graphics Reuters GraphicsWHAT STEPS CAN CREDIT SUISSE TAKE TO CALM INVESTORS? HOW IMPORTANT IS CREDIT SUISSE? Credit Suisse has a local Swiss bank, wealth management, investment banking and asset management operations.

☆ Spanish banks' exposure to Credit Suisse well below 1 bln euros, source says
▼ + stars: | 2023-03-16 | by ( Jesús Aguado | ) www.reuters.com time to read: +2 min

MADRID, March 16 (Reuters) - Spanish banks' exposure to struggling Swiss lender Credit Suisse (CSGN.S) is immaterial and lower than 1 billion euros ($1.1 billion), a source with knowledge of the matter said on Thursday. "The total exposure from Spanish lenders to Credit Suisse is well below 1 billion euros," the source said, without elaborating further. Credit Suisse in Spain declined to comment. Two supervisory sources told Reuters on Wednesday that the European Central Bank had contacted banks on its watch to quiz them on their exposure to Credit Suisse. On Thursday, the head of Spanish banking association AEB Alejandra Kindelan said she saw "no risk of contagion to Spanish banks", adding that domestic banks were well funded and properly supervised.

☆ Credit Suisse was losing the faith of investors long before the SVB debacle. Here's why the situation came to a head this week.
▼ + stars: | 2023-03-15 | by ( Theron Mohamed | ) www.businessinsider.com time to read: +6 min

Credit Suisse shares tumbled more than 25% on Wednesday as fears grew of a banking crisis. Here's a closer look at why Credit Suisse is worrying investors. The latest slump in Credit Suisse stock can partly be explained by recent events in the US banking industry. Credit Suisse CEO Ulrich Koerner has also faced questions about his plans to cut costs, staunch losses, and turn around his company. There's no clear reason to believe Credit Suisse is at risk of failure.

☆ West Virginia Gov. Jim Justice Puts Family Coal Business Up for Sale
▼ + stars: | 2023-03-14 | by ( Julie Steinberg | ) www.wsj.com time to read: 1 min

Jim Justice and his family members took out $850 million in personally backed loans from the now-collapsed firm Greensill Capital. West Virginia Gov. Jim Justice wants to sell his family’s coal business, according to his lawyer and other people familiar with the matter, a move that would help resolve substantial debts in advance of a possible challenge for the U.S. Senate seat held by centrist Democrat Joe Manchin . Mr. Justice, a Republican in his second term as governor, owns a sprawling empire of coal mines, processing facilities, agricultural interests and the landmark Greenbrier resort in West Virginia. But he has endured financial difficulties in recent years, made worse after he and his family members took out $850 million in personally backed loans from the now-collapsed firm Greensill Capital.

ZURICH, March 9 (Reuters) - Credit Suisse has postponed publication of its annual report after a last-minute call from the United States Securities and Exchange Commission (SEC), which raised questions about its earlier financial statements. Credit Suisse said it had then decided to postpone publication of the annual report. It is unclear when the 2022 annual report will be released. Credit Suisse shares were indicated 3.2% lower in pre market activity in Zurich. Among a string of scandals, Credit Suisse was hard hit by the collapse of U.S. investment firm Archegos in 2021 as well as the freezing of billions of supply chain finance funds linked to insolvent British financier Greensill.

☆ Swiss watchdog finds Credit Suisse 'seriously breached' obligations in Greensill affair
▼ + stars: | 2023-02-28 | by ( ) www.reuters.com time to read: +2 min

BERLIN, Feb 28 (Reuters) - Credit Suisse (CSGN.S) "seriously breached its supervisory obligations" in connection with its business relationship with financier Lex Greensill and his companies, Swiss financial watchdog FINMA concluded on Tuesday. It its review, FINMA said that Credit Suisse "seriously breached its supervisory obligations in this context with regard to risk management and appropriate organisational structures." Credit Suisse Chief Executive Ulrich Koerner said he welcomes the "conclusion of FINMA's work." So far 74% of the fund's $10 billion net asset value at the time of its suspension has been collected. Reporting by Kirsti Knolle and Noele Illien, Editing by Louise Heavens Editing by Paul Carrel and Louise HeavensOur Standards: The Thomson Reuters Trust Principles.

☆ Credit Suisse Breached Law in Greensill Lapses, Regulator Says
▼ + stars: | 2023-02-28 | by ( Margot Patrick | ) www.wsj.com time to read: 1 min

Credit Suisse said it had made a raft of improvements following its own review of its dealings with Greensill. Credit Suisse Group AG failed in its duties as an asset manager and violated Swiss supervisory law in its operation of $10 billion in investment funds with now-bankrupt financing partner Greensill Capital Management. Switzerland’s financial regulator, Finma, outlined a range of measures the bank must take to improve governance and comply with Swiss rules. It said it opened enforcement proceedings against four former Credit Suisse managers.

☆ Credit Suisse 'seriously breached' obligations in Greensill case, Swiss regulator says
▼ + stars: | 2023-02-28 | by ( Elliot Smith | ) www.cnbc.com time to read: +3 min

The logo of Credit Suisse Group in Davos, Switzerland, on Monday, Jan. 16, 2023.Credit Suisse "seriously breached its supervisory obligations" in the context of its business relationship with financier Lex Greensill and his companies, Swiss regulator FINMA concluded Tuesday. Credit Suisse CEO Ulrich Körner welcomed the conclusion of the FINMA investigation in a statement Tuesday. In March 2021, Credit Suisse closed four supply chain finance funds at short notice related to Greensill companies. FINMA announced Tuesday that it has ordered remedial measures and opened four enforcement proceedings against former Credit Suisse managers. Credit Suisse noted that all of the requirements identified by the regulator "are being addressed through the organizational measures already underway."

For the fourth quarter, Switzerland's second-biggest bank posted a net loss of 1.39 billion francs. That brought its total net loss in 2022 to 7.29 billion francs, marking its second straight year in the red. The bank, however, completed a 4 billion Swiss franc fundraising in December and said liquidity levels had been boosted. Chief Executive Ulrich Koerner said last month that Credit Suisse was "seeing money now coming back in different parts of the firm." "We have a clear plan to create a new Credit Suisse and intend to continue to deliver on our three-year strategic transformation," Koerner said on Thursday.

☆ Credit Suisse logs worst annual loss since global financial crisis
▼ + stars: | 2023-02-09 | by ( ) www.reuters.com time to read: +1 min

ZURICH, Feb 9 (Reuters) - Credit Suisse Group (CSGN.S) on Thursday reported its worst annual loss since the 2008 global financial crisis, battered by scandals and heavy losses that led to unprecedented customer withdrawals. Switzerland's second biggest bank posted a net loss in the fourth quarter of 1.39 billion Swiss francs ($1.51 billion), in line with an analyst consensus estimate of 1.34 billion francs compiled by the lender. The result compares with a 2 billion franc loss in the same quarter a year earlier, and brings Credit Suisse's total net loss in 2022 to 7.29 billion francs, marking its second straight year in the red. Net asset outflows for the last three months of the year totalled 110.5 billion Swiss francs, the bank said. ($1 = 0.9195 Swiss francs)Reporting by Noele Illien; editing by John Stonestreet and Edwina GibbsOur Standards: The Thomson Reuters Trust Principles.

☆ Credit Suisse winds down second Greensill-linked fund
▼ + stars: | 2023-02-02 | by ( ) www.reuters.com time to read: 1 min

ZURICH, Feb 2 (Reuters) - Credit Suisse (CSGN.S) on Thursday announced it had completed the liquidation process of the second of its four funds linked to collapsed supply chain financing firm Greensill Capital. A final payment scheduled for February 6 will bring the total amount returned to investors in Nova, the Luxembourg domiciled investment grade fund, to $256 million, which represents between 99.4% and 99.9% of the fund's total, depending on share class. In November, Switzerland's second largest bank announced it had wound up its Liechtenstein Supply Chain Finance Fund. Reporting by Noele Illien; editing by Jason NeelyOur Standards: The Thomson Reuters Trust Principles.

The new shares bring the QIA's ownership in Credit Suisse to 6.87%, amounting to 272.25 million shares, from 5.57% as reported in its last SEC filing in November. Credit Suisse declined to comment when contacted by Reuters on Monday and the QIA did not immediately respond to a request for comment. Credit Suisse's shares rose 2.2% on Monday to close at 3.15 Swiss francs. SNB, along with the QIA and Olayan Group, account for about 20% of Credit Suisse shares. Credit Suisse outlined plans in October to raise 4 billion Swiss francs from investors, cut thousands of jobs and shift its focus from investment banking towards its rich clients.

☆ Credit Suisse to pay upfront bonus to top staff -Bloomberg
▼ + stars: | 2023-01-18 | by ( ) www.reuters.com time to read: +1 min

ZURICH, Jan 18 (Reuters) - Credit Suisse Group AG (CSGN.S) will pay upfront bonuses to its senior bankers this year, Bloomberg reported on Wednesday, citing an internal memo it said it had seen. Managing directors and directors in most locations will be paid the cash component of their variable 2022 compensation straight away, the news agency said, as the under-fire Swiss bank battles to hang on to valued staff. Credit Suisse has been battered by mishaps, including a $5.5 billion loss on U.S. investment firm Archegos, and had to freeze $10 billion worth of supply chain finance funds linked to insolvent British financier Greensill. Last month it successfully completed the final part of a 4 billion Swiss franc ($4.28 billion) fundraising and said its liquidity levels had been boosted. Reporting by John Stonestreet, editing by Rachel MoreOur Standards: The Thomson Reuters Trust Principles.

☆ Tycoon Who Blew Up a Finance Company Is Now Fighting Over Hedgerows
▼ + stars: | 2023-01-13 | by ( Julie Steinberg | ) www.wsj.com time to read: 1 min

SAUGHALL, U.K.—Inveterate deal maker Lex Greensill has another project to sell: convincing neighbors that he can revitalize a patch of northern England by planting 100,000 trees. The financier is best known for his disastrous bid to reinvent the dull-but-important business of supply-chain finance, through the now-bankrupt Greensill Capital. The business imploded nearly two years ago, spawning a thicket of regulatory investigations, scrutiny of his political ties, accusations of fraud and headaches for partners such as Credit Suisse Group AG.

☆ Fallen Financier Lex Greensill Tangles With a Local Council Over Hedgerows
▼ + stars: | 2023-01-13 | by ( Julie Steinberg | ) www.wsj.com time to read: 1 min

☆ JPMorgan is continuing its push into fintech with a deal to partner with buzzy treasury startup Trovata
▼ + stars: | 2022-12-13 | by ( Callum Burroughs | ) www.businessinsider.com time to read: +2 min

Trovata, a cash management fintech startup, has partnered with JPMorgan Asset Management. JPMorgan has continued its push into fintech with a partnership with US cash management startup Trovata. California-based Trovata, which was founded in 2016, has been repeatedly backed by JPMorgan and has raised $57.6 million from investors to date. The startup offers cash management services to companies through an API. The tie-up will see Trovata host Morgan Money, JPMorgan's trading and risk management infrastructure, on its platform.

"The successful completion of the capital increase is a key milestone for the new Credit Suisse," its chief executive Ulrich Koerner said in a statement. Credit Suisse had already raised 1.8 billion francs by placing stock with a group of institutional investors led by Saudi National Bank (1180.SE). The exercise of subscription rights left only 16.4 million shares unsold. These are due to be sold on the market at or above the offer price of 2.52 Swiss francs, Credit Suisse said. Credit Suisse, has been battered by mishaps, including a $5.5 billion loss on U.S. investment firm Archegos.

Credit Suisse has already placed some 1.8 billion francs worth of shares with a group of institutional investors led by Saudi National Bank. "The rights issue is the necessary start to the process, said Jerome Legras of Axiom Alternative Investments. REVAMP AND RECORD LOWSCredit Suisse shares, which have plumbed record lows, were buoyed last week as its leadership sought to reassure markets. After closing above 3 Swiss francs on Monday, they have retreated slightly, finishing Wednesday’s session at 2.851 Swiss francs. Crucially, they have held above the deal subscription price of 2.52 Swiss francs and were at 2.821 Swiss francs, down around 1% in mid-session trade on Thursday.

☆ Credit Suisse bonds, stock fall as bank turnaround worries investors
▼ + stars: | 2022-11-28 | by ( ) www.reuters.com time to read: +2 min

Nov 28 (Reuters) - Credit Suisse bonds fell and the cost of insuring its debt against default rose on Monday as the Swiss bank struggled to win over rattled investors following an exodus of client cash and with more litigation on the horizon. The bank had also revealed in an official filing for a capital hike that the U.S. Federal Reserve had said it intended to pursue an investigation of Credit Suisse over collapsed U.S. investment firm Archegos. Credit Suisse CDS opened the year at 57 bps. The Federal Reserve announcement suggests the bank could face additional fines related to its connection to Archegos, whose collapse rocked Wall Street as its highly leveraged stock bets went sour. Credit Suisse's 4 billion franc capital raising is designed to help put the bank back back on track following the biggest crisis in its 166-year history.

☆ Credit Suisse warns of $1.6 billion loss as rich clients leave
▼ + stars: | 2022-11-23 | by ( ) edition.cnn.com time to read: +4 min

Credit Suisse expects a pretax loss of up to 1.5 billion Swiss francs ($1.58 billion) in its fourth quarter as it keeps bleeding cash, the Swiss bank said on Wednesday, shortly before shareholders approved a $4 billion capital hike. It said this trend in the wealth management division, catering to rich clients, has since improved, but had yet to reverse. The bank has been battered by a string of scandals and losses, including a $5.5 billion loss from the unraveling of US investment firm Archegos. Client activity had remained subdued in the wealth management and Swiss Bank divisions, a situation expected to continue in the coming months, the bank said. Analysts expressed concern about the outflows, which Bank Vontobel estimated to be around 84 billion Swiss francs ($88.2 billion).

☆ Liberty Steel agrees debt restructuring deal
▼ + stars: | 2022-11-15 | by ( ) www.reuters.com time to read: +2 min

LONDON, Nov 15 (Reuters) - The Liberty Steel group owned by commodities tycoon Sanjeev Gupta has reached an agreement to restructure much of its debt for global operations, it said on Tuesday, while negotiations continue on the debt of its European business. Liberty said in a statement that it had signed a term sheet subject to contract on an agreement in principle on debt restructuring with parties responsible for the main creditors of Greensill Capital UK Ltd, Greensill Bank AG and Credit Suisse Asset Management (CSGN.S). The company said in June that it had reached a standstill agreement with its largest creditor, Greensill Bank, on debt facilities for its European business. Tuesday's statement said Liberty was in the process of negotiating a similar term sheet for restructuring debt for the European business. German-based Greensill Bank is a subsidiary of Greensill Capital, which lent money to businesses by buying their invoices at a discount, but it collapsed after one of its main insurers declined to renew its cover.

☆ Credit suisse completes liquidation of one of Greensill linked funds
▼ + stars: | 2022-11-09 | by ( ) www.reuters.com time to read: 1 min

ZURICH, Nov 9 (Reuters) - Credit Suisse on Wednesday announced it has completed the liquidation process of one of its four funds linked to collapsed supply chain financing firm Greensill Capital. A final payment scheduled for this Friday, will bring the total amount returned to investors in the Liechtenstein domiciled investment grade fund to $667 million, which represents 99.7% of the fund's total. Reporting by Noele Illien, Editing by Louise HeavensOur Standards: The Thomson Reuters Trust Principles.

☆ Credit Suisse unveils details of $4 billion capital raising plan
▼ + stars: | 2022-10-31 | by ( John Revill | ) www.reuters.com time to read: +2 min

ZURICH, Oct 31 (Reuters) - Credit Suisse (CSGN.S) on Monday unveiled details of its plan to raise 4 billion Swiss francs ($4.01 billion) from investors to support the embattled bank's bid to tackle the biggest crisis in its 166-year history. It said new investors have committed to buying 462 million new shares at a purchase price of 3.82 Swiss francs ($3.83), equivalent to 94% of the volume weighted average price of Credit Suisse shares on Oct. 27 and 28, raising 1.76 billion Swiss francs. Some 307.6 million of the new shares are expected to be bought by Saudi National Bank (1180.SE), giving it a 9.9% stake in Credit Suisse. It is expected that seven pre-emptive subscription rights will entitle their holder to purchase two new shares at a 32% discount on the reference price, Credit Suisse said. If shareholders reject the plan, Credit Suisse said it would issue 1.8 billion new shares at an offer price of 2.27 francs per share, which would still enable it to raise 4 billion francs.

ZURICH/NEW YORK, Oct 28 (Reuters) - After months of reflecting, Credit Suisse's chairman Axel Lehmann revealed an overhaul "to rebuild Credit Suisse as a strong ... bank with a firm foundation, rock-solid like our Swiss mountains". On Thursday, Credit Suisse outlined plans to raise 4 billion Swiss francs from investors, cut thousands of jobs and shift its focus from investment banking towards its rich clients. Credit Suisse said its clients pulled funds in recent weeks at a pace that led the lender to breach some regulatory requirements for liquidity, underscoring the deep impact of wild market swings and social media speculation about its health. It will separate its investment bank to create CS First Boston, focused on advisory work such as mergers and acquisitions and arranging deals on capital markets. And that's the pond that Credit Suisse is swimming in."

☆ Credit Suisse Names New Compliance Chief Amid Strategic Overhaul
▼ + stars: | 2022-10-27 | by ( Mengqi Sun | ) www.wsj.com time to read: +2 min

Credit Suisse Group AG appointed a former Goldman Sachs Group Inc. compliance executive as its new chief compliance officer, as the Swiss lender looks to move on from a period of scandals, hefty losses and executive turnover. Nita Patel, who is currently the chief compliance officer for Credit Suisse’s asset-management division and its U.K. investment bank, will become the lender’s new compliance chief and join the executive board on Nov. 1, the bank said Thursday. Ms. Patel joined Credit Suisse in May 2021 as a chief compliance officer for its international division. Newsletter Sign-up WSJ | Risk and Compliance Journal Our Morning Risk Report features insights and news on governance, risk and compliance. He will be appointed as a nonexecutive member of its board in Spain, Credit Suisse said.

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