Don't miss

Replay


LATEST SHOWS

REPORTERS

Syria: Wresting control of Kobani from IS group

Read more

FRANCE IN FOCUS

A who's who of the 'Bettencourt trial'

Read more

FOCUS

Golan Heights on edge...

Read more

THE BUSINESS INTERVIEW

Eugene Kaspersky: Cyber attacks on critical infrastructure 'just a question of time'

Read more

#THE 51%

Equality in the workplace: Bridging the gender pay gap

Read more

ENCORE!

The culture stars trying to save the world

Read more

#TECH 24

Technology helping visually impaired people

Read more

BUSINESS DAILY

Brands bet big on Super Bowl Sunday

Read more

YOU ARE HERE

A Paris hidden within its passages

Read more

Business

Deutsche Bank braces for huge losses

Latest update : 2009-01-14

Germany's largest bank said it expected to post net losses of close to 4 billion euros for the year 2008, after anticipating a staggering €4.8bn net loss for the 4th quarter. Deutsche Bank said the results reflected "exceptional market conditions".

AFP - Deutsche Bank, the biggest German bank, said Wednesday it expected a 2008 net loss of around 3.9 billion euros (5.2 billion dollars).
  
In the fourth quarter, the net loss would amount to around 4.8 billion euros, a statement said.
  
"For the full year 2008, the bank currently anticipates a loss after tax in the region of 3.9 billion euros," the statement said.
  
For the last three months of the year, "the bank currently anticipates a loss after taxes in the region of 4.8 billion euros," it added.
  
The results "reflects exceptional market conditions, which severely impacted results in the sales and trading businesses," Deutsche Bank said.
  
Measures taken to reduce the bank's exposure to risk also contributed to the loss, it added.
  
The bank's final results for 2008 are to be released on February 5.
  
Banks worldwide are moving to protect themselves from risky investments that have soured amid the international financial crisis, an operation known as de-leveraging.
  
They often have to reevaluate the value of such investments sharply lower, which impacts their bottom line.
  
At the end of the fourth quarter, Deutsche Bank said it expected to have a ratio of core capital to overall assets of 10 percent, its published target.
  
That would bring the closely-watched ratio into line with other sound European banks.
  
Deutsche Bank shares plunged by 6.27 percent to 22.75 euros following the announcement, while the DAX index of leading shares was off by 1.53 percent overall.

Date created : 2009-01-14

COMMENT(S)