UBS predicts loss of 685 million dollars in third quarter

People's Daily Online
Posted: 2007-10-02 20:32:30

Switzerland's largest bank UBS said on Monday that it would record an overall pretax loss of up to 685 million U.S. dollars in the third quarter, mainly because of the U. S. subprime mortgage crisis.

"UBS is likely to record an overall group pretax loss of between 600 million and 800 million Swiss francs (about 513 million to 685 million U.S. dollars) for the third quarter, ended Sept. 30," the Zurich-based bank said in a statement.

The loss is "mainly related to deteriorating conditions in the U.S. subprime residential mortgage market," the statement said.

UBS also announced that it would cut 1,500 jobs in its investment bank as it became one of the biggest casualties so far of turmoil in global credit markets.

The bank is also making changes in top management positions as a result of the losses, the statement said.