Credit Suisse Heads Back to the Chopping Block
By MARK DeCAMBRE
June 20, 2008 -- Credit Suisse is expected to hand out more pink slips in investment banking, The Post has learned.
The Swiss investment bank is set to wield the ax in areas that include high-yield sales and trading as well as leveraged loans, due to slumping activity, according to people familiar with the situation.
While the exact scope and timing could not be learned, one person familiar with the plan described this round of layoffs as cutting "muscle, not just fat."
A spokesman at Credit Suisse in New York declined to comment.
Credit Suisse eliminated about 325 jobs last fall and this year has slashed more than 1,000 jobs.
The firm, run by American-born CEO Brady Dougan, has roughly 19,000 investment-banking staffers worldwide and has been steadily trimming its staff in the UK and in the US amid the mortgage crisis.
The layoff plans at Credit Suisse come as Washington Mutual, already reeling from mortgage-related losses, said yesterday that it will layoff 1,200 employees in Florida, California, Illinois and Texas.
Bad bets at brokerage firms and big banks have led to 83,000 job cuts so far.
Goldman Sach's financial analyst Christopher Malmer predicted that Credit Suisse could face a writedown of more than $1 billion when it reports its second-quarter earnings.
June 20, 2008 -- Credit Suisse is expected to hand out more pink slips in investment banking, The Post has learned.
The Swiss investment bank is set to wield the ax in areas that include high-yield sales and trading as well as leveraged loans, due to slumping activity, according to people familiar with the situation.
While the exact scope and timing could not be learned, one person familiar with the plan described this round of layoffs as cutting "muscle, not just fat."
A spokesman at Credit Suisse in New York declined to comment.
Credit Suisse eliminated about 325 jobs last fall and this year has slashed more than 1,000 jobs.
The firm, run by American-born CEO Brady Dougan, has roughly 19,000 investment-banking staffers worldwide and has been steadily trimming its staff in the UK and in the US amid the mortgage crisis.
The layoff plans at Credit Suisse come as Washington Mutual, already reeling from mortgage-related losses, said yesterday that it will layoff 1,200 employees in Florida, California, Illinois and Texas.
Bad bets at brokerage firms and big banks have led to 83,000 job cuts so far.
Goldman Sach's financial analyst Christopher Malmer predicted that Credit Suisse could face a writedown of more than $1 billion when it reports its second-quarter earnings.
Labels: Credit Suisse, layoffs, Wamu, Washington Mutual
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