Swiss bank UBS said on Tuesday it plans major job cuts to reduce costs of up to $2.5bn over the next two to three years. The announcement came as it reported a 49 percent 2Q11 decrease in net profit to CHF1.01bn from CHF2bn during the same period in 2010. Group revenues were down 14 percent…
Moody’s Investors Service on Monday cut Greece’s sovereign debt by three notches to Ca from Caa1, warning the second bailout of Greece is likely to result in a default and weaken the credit ratings of the stronger European nations. The rating agency warned in a statement that it is inevitable that Greece will be deemed…
European heads of state at the emergency summit in Brussels agreed late on Thursday a new €109bn bailout package for Greece. The deal includes a reduced interest rate of 3.5 percent and a time extension to between 15 and 30 years from the previous 7.5 years. “The new programme is designed, notably through lower interest…
The president of the European Commission, José Manuel Durão Barroso, warned ahead of Thursday’s Euro area summit that “nobody should be under any illusion because the situation is very serious.” Barroso urged European leaders to “show the ethics of European responsibility.” In a statement he outlined the key issues to be dealt with at the…
When buying property in Mexico’s “Restricted Zone,” it is necessary for investors to use one of two vehicles – a bank trust (“fideicomiso”) or a Mexican corporation. While the bank trust is the most common choice with some extra advantages, ownership through a Mexican corporation has its own benefits. Here we will review these benefits.The…
Goldman Sachs announced late on Tuesday that it will lay off around three percent of its workforce, an estimated 1,000 staff, amid disappointing 2Q11 results. The news by the investment bank comes following lower than anticipated 2Q11 net earnings of $1.09bn after fixed income revenue dropped significantly due to a fall in trading activity. The…
IBM reported growth in all of its key product areas and raised its income guidance for 2011 as net earnings for 2Q11 increased by eight percent to $3.7bn compared to $3.4bn in 2010, the company said late on Monday. The technology giant, which lifted its full 2011 year forecast to $13.25 a share following results,…
Banking giant Credit Suisse said Friday it had received notice that it is being investigated by the US Department of Justice and other authorities regarding private banking services provided on a cross-border basis to US taxpayers. The bank said in a statement it will continue to cooperate with US authorities to resolve these matters, and…
US treasuries futures fell late on Wednesday after Moody’s Investors Services placed the US government on review for a possible downgrade, which could see it stripped of its AAA rating. The ratings agency upped the likelihood of the US defaulting on loan obligations, saying that the possibility was higher than a month ago when it…
The IMF urged the Italian government late on Tuesday to “continue pursuing fiscal consolidation”, stressing that it should cut its budget deficit to below three percent of GDP by 2012 through “decisive implementation”. Italy is hoping to approve a €40bn austerity plan by Sunday in an attempt to stabilise its budget and restore confidence in…
