The Financial Times reports that Royal Bank of Scotland (RBS) could confirm that up to 20,000 jobs go may when it posts its 2008 results, and detail a major restructuring exercise Thursday. The bank has already indicated that it is likely to have sustained losses of up to $40bn last year. It is expected to withdraw from 30 of the 60 countries in which it currently operates, and scale back further its wholesale banking activities.
Here's our thoughts on what Bank of America CEO Ken Lewis would like to articulate, if only he could truly say what's probably on his mind:
Fears of nationalization continued to hit US bank shares Friday (particularly Citi and Bank of America). At one point, BofA shares were down by some 30% on the day, but recovered after the White House reassured the market that nationalization was not currently on the agenda. The stock ended up 3.56% off, but is down almost 50% in the last 2 weeks.
A few days ago Commerzbank came out and confirmed that the firm would not be paying discretionary bonuses to staff for 2008. The bank has now launched an appeal to any senior bankers and executives at subsidiary Dresdner Kleinwort who were responsible for the losses recently incurred by the unit, and who had written guarantees, to voluntarily forgo these payments.
'Note to self - must give up smoking, and start wearing pyjamas to bed!'
Sir Robert Allen Stanford KCN (born March 24, 1950) is a prominent financier, philanthropist, and sponsor of professional sports. A fifth-generation Texan who resides in St. Croix, US Virgin Islands, he holds dual citizenship, having become a citizen of Antigua and Barbuda. Stanford was the first American to be knighted by that Commonwealth nation
Bloomberg reports that ING Groep is considering scrapping its 2009 dividend, as the firm posted its second consecutive quarterly loss this week.
CNBC reports that 'several' Goldman partners are having to borrow funds to cover margin calls being made by their own firm.
We've run a few off-the-wall stories about folks who work in the global financial markets in our time, but this one really does take the biscuit. And it's pretty bizarre.
Our Father, who deals in bailouts,