Page last updated at 07:38 GMT, Thursday, 4 December 2008

Credit Suisse to cut 5,300 jobs

Credit Suisse building in Zurich
Credit Suisse has written off billions in bad loans

Troubled Swiss banking giant Credit Suisse has said it is shedding another 5,300 jobs from its global workforce.

Most of the jobs being lost are in investment banking. The firm has already shed 1,800 posts this year.

The bank has struggled since the onset of the financial crisis and has been forced to write off assets worth billions owing to bad loans.

It said it had a net loss of about 3bn Swiss francs ($2.5bn; 1.7bn) in the two months to the end of November.

Credit Suisse said the loss, primarily in investment banking, was due to adverse market conditions and risk reduction. In addition it will take a restructuring charge of 900m Swiss francs.

"Investment banking had a significant pretax loss, reflecting the challenging conditions in the financial markets in the quarter and the costs associated with risk reduction," Credit Suisse said in a statement.

Without state aid

The bank is shedding 11% of its workforce as it strives to make savings of 2bn Swiss francs.

These job cuts will take place by the middle of the next year, the bank announced.

On Monday it said that it would cut 650 jobs from its UK workforce.

Credit Suisse said on Thursday that its chief executive and other top managers will not receive salary bonuses for 2008.

So far Credit Swiss has managed to weather the global financial crisis without state aid.

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