quarter of this year the bank s last quarter before it had to be rescued by swiss rival ubs. and they illustrate the scale of the crisis which was around the corner. between january and march, credit suisse made a pre tax loss of nearly $1.5 billion. to add to its woes, a massive amount of deposits were withdrawn in the three month period. total outflow was nearly $69 billion. and to remind you what happened next, when there were fresh doubts about the stability of the banking industry a few weeks ago, investors became increasingly fearful for the future of credit suisse. it was eventually bought by its swiss rival, ubs, in what was described as an emergency rescue. the $3 billion price tag was a mere fraction of what the bank would have previously been valued. let s get more now from russ mould, investment director at aj bell. worryingly for the bank, desposits are still being withdrawn. how significant is that? hello, yes, they did say they feel that the outflows are st
Lee. Prosecutors vowed to continue the Corruption Investigation without wavering. We will have the latest from seoul. And for now european markets are all headed higher theresa may is speaking in davos in less than an hour and so we are watching the pound sterling. We are also going to be getting the inside track on the winners and losers. Also, streaming service net flicks reported a huge boost in subscriber numbers, they put it down to their original conflict, it is a little bit like netflix and chilling. Do the streaming services make your much watch shows . Do get in touch, use the hashtag. Welcome to the programme. Do get in touch with your comments, not just about netflix do get in touch with your comments, notjust about netflix but do get in touch with your comments, not just about netflix but about do get in touch with your comments, notjust about netflix but about our other stories. We love to hear from you. We start here in london where fears of a costly brexit exodus of bank
drawn out, is that right? it of integration is actually quite drawn out, is that right? it will be and arain drawn out, is that right? it will be and again that drawn out, is that right? it will be and again that is drawn out, is that right? it will be and again that is something - drawn out, is that right? it will be and again that is something the l and again that is something the swiss unions have not been particularly keen on from an employee point of view, ubs has brought back its chief executive to run the deal and it is also announced its chief risk officer, christian bloom, who was leaving to become a photographer is now staying to help with the integration, but it is one of those things that whilst it needs to be done in a measured fashion, the key will be reassuring those customers and staff and making sure the bank continues to function because it doesn t provide the services it once it is losing more customers, then the value ubs is in theory going to get from this deal
confidence among customers in the bank, do you think? bank, do you think? i think there will be understandably bank, do you think? i think there will be understandably nervous i bank, do you think? i think there l will be understandably nervous and ubs, as the buyer of the bank, has got a couple of challenges. one is to reassure the customers it is inheriting from credit suisse that it will make the steelwork, that service will remain as good as ever and that they will be looked after properly and that the bank is financially sound and the second thing we have to do is we reassure the employees because they are the people you provide the service. so i know the swiss unions are saying they don t want the two banks to be just crash together with redundancy is done very quickly, they want the measured approach and i completely understand that and there are a8,000 credit suisse employees wondering what is going on. but at the same time, having been through this myself as a ubs employee,
worryingly for the bank, desposits are still being withdrawn. how significant is that? hello, yes, they did say they feel that the outflows are stabilising, but not stopping. you are quite correct. after that $69 billion outflow in the first quarter, money is still seeping out. to look at the money in swiss francs, the deposit peaked at 4 billion swiss francs two years ago, they are 166 billion now, so clearly it wasn tjust investors losing faith in the bag, it was its customers and that was the most important reason why it eventually fell into the hands of its bitter rival, ubs. fell into the hands of its bitter rival, ubs. ., , rival, ubs. and for the time being, althou:h rival, ubs. and for the time being, although ubs rival, ubs. and for the time being, although ubs has rival, ubs. and for the time being, although ubs has bought - rival, ubs. and for the time being, although ubs has bought credit - although ubs has bought credit suisse, they are still functionally separate.