Billions withdrawn from Credit Suisse

More than US$68 billion was withdrawn from Credit Suisse in the first three months of 2023, the bank said Monday in what are likely its final quarterly results before it is swallowed by rival UBS.

Switzerland's long-time second largest bank saw 61.2 billion Swiss francs (R1.2 trillion) withdrawn in the first quarter alone.

At the same time, the bank saw its net profit swell to 12.4 billion francs, up from a significant loss a year earlier, after holders of high-risk Credit Suisse debt were wiped out in the emergency takeover deal.

Investors had been eagerly awaiting the results as they seek clues to the magnitude of the challenges facing UBS, which was strongarmed last month by Swiss authorities into the mega merger.

Credit Suisse said the "significant net asset outflows" were particularly heavy in the second half of March, as it was engulfed by panic prior to the hastily arranged takeover by its larger domestic competitor.

"These outflows have moderated but have not yet reversed as of April 24, 2023," the bank said in its earnings statement.-Fin24