By Hanna Ziady, CNN
Credit Suisse suffered outflows of 61.2 billion Swiss francs ($68.7 billion) in the first three months of the year and customers are still pulling their money from the bank as UBS races to complete a rescue of its stricken rival.
“Credit Suisse experienced significant net asset outflows, in particular in the second half of March 2023. These outflows have moderated but have not yet reversed as of April 24, 2023,” the lender said in a statement Monday. Outflows in the first quarter amounted to 5% of assets under management, it added.
Credit Suisse’s first-quarter earnings could be its last after it was bought last month by UBS in an emergency rescue deal orchestrated by the Swiss government.
Swiss authorities judged that a tie-up with its larger rival offered the best chance of restoring stability in the banking sector globally, which had been rattled by the failure of two American banks.
Credit Suisse reported a 1.3 billion franc ($1.3 billion) loss for the first quarter, extending a losing streak that began in 2021. The bank posted a loss of 7.3 billion Swiss francs ($7.9 billion) in 2022, its biggest annual loss since the financial crisis in 2008.
