Credit Suisse in limbo in Luxembourg
A scenario à la Lehman Brothers? Since the beginning of the week, the most alarmist concerns have raised fears for the worst for Credit Suisse, as the establishment's credit default swap spreads have reached an all-time high and its share price has collapsed these last last months. What about the Luxembourg entities of the bank, which employs 540 people in the Grand Duchy?
No bankruptcy or closure on the agenda, according to the OGBL. The union, “in permanent contact” with the management, does not however exclude a restructuring.
In what form? Nothing has been decided yet – and nothing has yet filtered – and everything will depend on the content of the current discussions of the Swiss banking group with its shareholders regarding a capital increase or a restructuring. Restructuring which could mainly affect the investment banking branch.
"But if a storm is likely to hit the group, its effects should not affect Luxembourg too much," Sylvie Reuter, central secretary of the OGBL Financial Sector, told Paperjam. Who insists on the fact that the contact is permanent with the management and that the latter strives to reassure the employees.
See you on October 27
Same story with ALEBA regarding the impact of the crisis in Luxembourg. In addition to Credit Suisse, the union conducted the investigation on the side of the other major Swiss banks in the marketplace and nothing concrete came of it. “We are awaiting a communication from management scheduled for October 27,” said a spokesperson for the union, for whom “not knowing anything today is in itself a sign that something is wrong. But we don't know what..."
An uncertainty that reinforces the rumours. Starting from the principle that “everything that was relocatable has already been, the worst that one can imagine is that an entire sector of activity could be closed or sold”.
The two unions maintain contact with management and regret that the only information available to employees is through the press. A more than pessimistic press in recent days on the future of the bank, at least in its current configuration.
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