Commerzbank’s Q2 loss due to restructuring costs
Commerzbank stated that its net second-quarter loss was caused by restructuring costs and the cancellation of its outsourcing partnership with HSBC.
The German bank disclosed that its Q2 net loss amounting to 527 million euros (approximately US$625.7 million) was largely due to their restructuring expenses of 511 million euros (approximately US$604 million) and 200 million euros (approximately US$236 million) write-off for ending the outsourcing project.
The shares of the lending firm fell to the bottom of the STOXX Europe 600 Index by 5% during the morning trade in London.
Bettina Orlopp, Chief financial officer of Commerzbank, said in a statement, “We have kept our Common Equity Tier 1 ratio stable despite the high one-time write-off and restructuring expenses.”
Orlopp added that the bank’s current stability “again proves that we have a very strong basis for the transformation, and it demonstrates that we are also able to deal with exceptional charges on our way to a sustainably profitable future.”
