Deutsche Bank to intensify overhaul
Lender faces steep US fine for mortgage-backed securities trading
Frankfurt — Deutsche Bank chief John Cryan pledged to redouble restructuring efforts on Thursday, warning that it faced tough times finalising talks with US justice authorities over a multibillion-dollar fine. Germany’s biggest lender earlier posted an unexpected quarterly profit, benefiting from a modest rebound in bond trading, but failed to dispel the cloud of uncertainty that drove clients to withdraw billions of euros. Cryan said on a conference call that the quarter had been overshadowed by talks over the US department of justice’s settlement proposal relating to sales of residential mortgage-backed securities, which had caused uncertainty. As well as having an effect on investor and client views of the bank, this uncertainty had also taken its toll on "financial planning and strategy execution", he added.
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