Don't miss

Replay


LATEST SHOWS

EYE ON AFRICA

ICC orders Congo warlord germain Katanga to pay victims

Read more

MEDIAWATCH

Trumpcare Falls Before First Hurdle

Read more

THE WORLD THIS WEEK

Westminster Attack, Abadi in Washington (part 1)

Read more

THE WORLD THIS WEEK

Obamacare, Europe's Unholy Alliances, Martin McGuinness (part 2)

Read more

INSIDE THE AMERICAS

Export bans hit Brazil amid tainted meat scandal

Read more

FRANCE IN FOCUS

Presidential election: French voters in turmoil

Read more

#TECH 24

Inside Netflix's war room

Read more

FOCUS

French Catholic voters remain faithful to scandal-hit Fillon

Read more

PEOPLE & PROFIT

Growing ambitions: The forces driving India's economy

Read more

Business

HSBC profits slump 70% as more layoffs announced

Latest update : 2009-03-02

Hard hit by the global financial crisis, Europe's biggest bank, HSBC, has announced a 70% fall in its annual net profits. It also announced a £12.5 billion rights issue, the biggest ever in the UK, as well as 6,100 layoffs in the United States.

AFP - HSBC, Europe's biggest bank, reported Monday a 70 percent slump in annual net profits as bad debts surged to almost 25 billion dollars (20 billion euros), causing it to launch a record British rights issue.

The British banking group said it planned to raise 12.5 billion pounds (17.8 billion dollars, 14.2 billion euros) and would axe 6,100 jobs in the United States by shutting most of its HFC and Beneficial branches.

HSBC said net profits tumbled to 5.728 billion dollars in 2008 compared to 19.133 billion dollars in 2007 as the global financial crisis took its toll.

"In this difficult environment, we missed our profitability targets," HSBC chairman Stephen Green said in the group's earnings statement.

"The coming twelve months will be difficult. We expect parts of Asia, the Middle East and Latin America to continue to outperform Western economies, but to be constrained by the global downturn."

Date created : 2009-03-02

COMMENT(S)