Tony Webster
The list includes former Chief Executive Josef Ackermann, his former deputies Anshuman Jain and Jürgen Fitschen. Three other top managers are former members of the bank’s Board of Directors Hermann-Josef Lamberti, Michael Kohrs and Hugo Bänziger.
The cancelled bonuses have not been paid yet. In total, the bank will save tens of millions of euros. Recall that Deutsche Bank has long thought about alternative ways to pay cash bonuses, as the bank's Chief Executive Officer John Cryan intends to increase capital reserves and strengthen investor confidence.
The bank’s managers have informally discussed some options, including granting share of non-core units instead of cash bonuses, sources told Bloomberg. There’s also an idea to replace cash with Deutsche Bank’s shares, the agency added.
The organization is trying to get out of a deep crisis. In October, Reuters reported that Deutsche Bank discussed extended layoffs (additional 10 thousand employees).
A source told that CFO of Deutsche Bank Marcus Schenck said this at a meeting with representatives of the bank's staff. "Schenck said that the bank may need to cut another 10,000 employees to reduce costs", - quoted by Reuters.
At the same time, another source said management of Deutsche Bank is considering need to maintain the bank’s presence in other countries. Deutsche Bank itself declined to comment.
Over the past three months, the bank earned 278 million after taxes. Unexpectedly, this was significantly above analysts' expectations. They forecasted that Deutsche Bank would end the quarter with multi-million dollar losses.
In October, John Cryan sent a letter to the bank's staff, where he warned of the need for more austerity measures. The financial conglomerate was going to cut 9,000 jobs (of which - 4000 in Germany), and close 700 branches. In addition, the bank announced curtailing activities in Mexico.
Cryan warned that "external conditions for the bank have deteriorated". Thus, Deutsche Bank has not yet completed a trial with the US authorities, which are accusing the financial conglomerate in irregularities in transactions with mortgage-backed securities in the period before the 2008 crisis. The US required that the bank pays $ 14 billion in penalties. At the same time, the bank held over 5.9 billion euros to pay fines, according to the organization’s reporting on the third quarter.
Many financial analysts, as well as the leadership of the IMF have expressed critical comments on the bank's long-term business model.
Meanwhile, the prospect of a huge fine frightened investors so much that they started to withdraw large sums from their accounts in Deutsche Bank. In the third quarter of 2016, liquidity of the financial institutions decreased to € 200 billion. Cash outflow accelerated in late September, "but has stabilized since then", Marcus Schenck assured analysts during a conference call.
Anxiety of investors was also heightened since the Bank of England, according to a recent report in Financial Times, demanded from the leading British banks to disclose information about how their business is related to Deutsche Bank.
source: sueddeutsche.de, bloomberg.com, reuters.com
The cancelled bonuses have not been paid yet. In total, the bank will save tens of millions of euros. Recall that Deutsche Bank has long thought about alternative ways to pay cash bonuses, as the bank's Chief Executive Officer John Cryan intends to increase capital reserves and strengthen investor confidence.
The bank’s managers have informally discussed some options, including granting share of non-core units instead of cash bonuses, sources told Bloomberg. There’s also an idea to replace cash with Deutsche Bank’s shares, the agency added.
The organization is trying to get out of a deep crisis. In October, Reuters reported that Deutsche Bank discussed extended layoffs (additional 10 thousand employees).
A source told that CFO of Deutsche Bank Marcus Schenck said this at a meeting with representatives of the bank's staff. "Schenck said that the bank may need to cut another 10,000 employees to reduce costs", - quoted by Reuters.
At the same time, another source said management of Deutsche Bank is considering need to maintain the bank’s presence in other countries. Deutsche Bank itself declined to comment.
Over the past three months, the bank earned 278 million after taxes. Unexpectedly, this was significantly above analysts' expectations. They forecasted that Deutsche Bank would end the quarter with multi-million dollar losses.
In October, John Cryan sent a letter to the bank's staff, where he warned of the need for more austerity measures. The financial conglomerate was going to cut 9,000 jobs (of which - 4000 in Germany), and close 700 branches. In addition, the bank announced curtailing activities in Mexico.
Cryan warned that "external conditions for the bank have deteriorated". Thus, Deutsche Bank has not yet completed a trial with the US authorities, which are accusing the financial conglomerate in irregularities in transactions with mortgage-backed securities in the period before the 2008 crisis. The US required that the bank pays $ 14 billion in penalties. At the same time, the bank held over 5.9 billion euros to pay fines, according to the organization’s reporting on the third quarter.
Many financial analysts, as well as the leadership of the IMF have expressed critical comments on the bank's long-term business model.
Meanwhile, the prospect of a huge fine frightened investors so much that they started to withdraw large sums from their accounts in Deutsche Bank. In the third quarter of 2016, liquidity of the financial institutions decreased to € 200 billion. Cash outflow accelerated in late September, "but has stabilized since then", Marcus Schenck assured analysts during a conference call.
Anxiety of investors was also heightened since the Bank of England, according to a recent report in Financial Times, demanded from the leading British banks to disclose information about how their business is related to Deutsche Bank.
source: sueddeutsche.de, bloomberg.com, reuters.com
