CEO Tidjane Thiam wants to substantially write down assets following the acquisition of investment bank Donaldson, Lufkin & Jenrette in 2000. Impairment charges on $6.3bn in legacy assets could lead to an annual loss of $2.6bn - to $2.8bn, the newspaper reported.
The bank may thus need to slash bankers’ bonuses by as much as 60%, in accordance with rules set by the Swiss Financial Market Supervisory Authority, or Finma, according to the newspaper. The supervisor requires financial institutions to cut bonuses in case of financial loss.
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