'The results paint a sobering picture of the mood inside our bank'.
'The results paint a sobering picture of the mood inside our bank', CEO John Cryan and Karl von Rohr, chief administrative officer, said in a memo to staff posted to the company’s website Friday. 'The ongoing transformation of our businesses, and the resulting job cuts, are causing a lot of concern and uncertainty'.
Bloomberg News reports that Cryan laid out plans in October to cut jobs, risky assets and clients at the bank’s securities unit, Europe’s largest investment bank. At a conference in New York in late May, Cryan told investors that Deutsche Bank is 'correcting some mistakes that have been made over the past 20 years or so'. Deutsche Bank trades at about a third of its tangible book value, meaning investors view its assets as worth less than its accounts indicate.
'Unhappy staff aren’t good for developing and generating business', said Michael Seufert, an analyst at Norddeutsche Landesbank in Hanover, Germany who recommends investors hold Deutsche Bank shares. However, 'banks will also be happy if some staff leave, and there aren’t that many places where the good people can go to at the moment'.
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