Deutsche Bank eyes zero dividend..the catalyst?
Deutsche Bank AG may forgo dividends for the first time in almost 60 years as co-Chief Executive Officer John Cryan tries to overhaul the firm without calling on shareholders for more capital.
The German bank said it will probably post a third-quarter loss of 6.2 billion euros ($7 billion) — the largest three-month loss in at least a decade — as a result of writedowns and legal costs. The shares rose 3.1 percent and were 0.5 percent higher as of 12:49 p.m. in Frankfurt trading, erasing earlier losses of as much as 3.6 percent.
The charges clear the way for Cryan, who became co-CEO in July, to present a strategy later this month for shoring up capital and increasing profitability. Regulatory and compliance expenses have overwhelmed the firm’s efforts to cut costs.
“You expect a new CEO to go through the balance sheet with an iron brush, but we didn’t…
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