Deutsche Bank posts huge loss
Güncelleme Tarihi:
AP
Oluşturulma Tarihi: Şubat 06, 2009 00:00
FRANKFURT - Deutsche Bank confirmed yesterday that a hefty 4.8 billion euros ($6.1 billion) net loss in the fourth quarter resulted in a shortfall for the full year, and said it expected global weakness to pose "significant challenges."
Germany's largest bank said its fourth-quarter net loss compared with a net profit of 1 billion euros in the fourth quarter of 2007. It also caused a net loss for the whole of 2008 of 3.9 billion euros.
Revenue tipped into the red in the fourth quarter, coming in at a negative 885 million euros - compared with 7.3 billion euros a year earlier - because of a 4.8 billion euros trading loss in equities, derivatives and credit markets.
Weak business model
The bank cited "unprecedented" operating conditions and "weaknesses in our business model."
"We are very disappointed at our fourth quarter result, and the consequent full-year net loss," Josef Ackermann, the bank's chief executive, said. "Looking forward, we see continuing very difficult conditions for the global economy, posing significant challenges for our clients and for our industry."
The bank reported a fourth-quarter pretax loss of 6.2 billion euros, compared with a profit of 1.4 billion euros a year earlier. For the full year, the bank booked a pretax loss of 5.7 billion euros. Deutsche Bank said its boards would recommend a dividend of 0.50 euro per share, down from 4.50 euros a year ago.
Revenue tipped into the red in the fourth quarter, coming in at a negative 885 million euros - compared with 7.3 billion euros a year earlier - because of a 4.8 billion euros trading loss in equities, derivatives and credit markets.
Weak business model
The bank cited "unprecedented" operating conditions and "weaknesses in our business model."
"We are very disappointed at our fourth quarter result, and the consequent full-year net loss," Josef Ackermann, the bank's chief executive, said. "Looking forward, we see continuing very difficult conditions for the global economy, posing significant challenges for our clients and for our industry."
The bank reported a fourth-quarter pretax loss of 6.2 billion euros, compared with a profit of 1.4 billion euros a year earlier. For the full year, the bank booked a pretax loss of 5.7 billion euros. Deutsche Bank said its boards would recommend a dividend of 0.50 euro per share, down from 4.50 euros a year ago.