Credit Suisse suffers more losses

Apr 24, 2008

TEXT OF STORY

Renita Jablonski: Credit Suisse, Switzerland’s second-largest bank, has suffered another big loss. The bank has written off another several billion dollars worth of mortgage-backed securities and buyout loans. From London, Stephen Beard reports.


Stephen Beard: Credit Suisse lost $2 billion in the first quarter. That’s after writing down $5 billion worth of assets. The assets are not only the mortgage-backed securities that have caused such havoc. Credit Suisse has also lost money on the private equity buyout boom. Today’s figures are bad, but not disastrous compared with the $37 billion shortfall at Switzerland’s largest bank, UBS. And, says Haig Simonian of the Financial Times, Credit Suisse points cautiously to an improvement in recent weeks:

Haig Simonian: April’s been doing not too badly, so far. But, of course, these markets are terribly volatile. And there’s no banker out there who’s brave enough, understandably, to call a turn, so far.

The bank’s boss, himself, said today people have seen the light at the end of the tunnel before, and it’s turned out to be a train hurtling down the track.

In London, this is Stephen Beard for Marketplace.

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.