to imagine and develop tomorrow's productsJust as had told him to take that of Caisses d'EpargneIt is an application of the teachings of StTake two mobile in hand and compare imagesBut these days it seems to me difficultAll disciplines foreigners account for 3 Pressure from the markets could not relaxEvolution of the spiritsRadical change of sceneryExisting housing sales thus increased by 08 billion bushels the course had fallen 3Expected him for so long that he had eventually to be forgotten. A plan of action for the banks in the country finally was unveiled yesterday by Switzerland, the Swiss Confederation and the National Bank in the wake of a meeting of the Federal Council. The set of "measures aimed at strengthening the financial system" combines output of illiquid assets from the balance sheets and strengthening of own funds.
This safety net is designed first to two major banks in the country because according to the Federal Banking Commission, "the situation of the other banks in Switzerland is good." Outputs of assets relate to this day the UBS leader. Number two, Credit Switzerland, found that he could live without them with the blessing of the banking supervisor while seeking its private shareholders to strengthen its capital of about 10 billion CHF (6.5 billion). For him, this is a first since the beginning of the financial crisis, where UBS has already solicited heavily private investors over the past year, including sovereign wealth funds.
"The market has deteriorated dramatically over the past two weeks", explained yesterday leaders of UBS, to justify the use of a maximum (EUR 40 million) Bank loan and the money from the taxpayer (4 billion euros). Measured by European and American plans, Switzerland figures may seem modest, but the intervention of the taxpayer is never going to itself in Switzerland, as shown by the bankruptcy of Swissair.
Drastic treatment
For UBS, the most affected European Bank from depreciation of the crisis, the treatment is indeed drastic. The Group Gets the opportunity to transfer up to 60 billion of illiquid assets (EUR 45 million) to a structure of portage for their adequate liquidation. It is the latter which is funded by a national bank credit suisse, in the amount of $ 54 billion maximum (with a currency with the US Federal Reserve swap), knowing that UBS brings to 6 billion and limits all its future potential loss. If the liquidation of the assets generated a profit after rebate, clauses provide a sharing of profits between the SNB, owner of the new Fund and UBS, responsible for managing its assets.
To finance this mechanics that will outweigh its benefits of 4 billion in the fourth quarter Swiss francs, UBS will increasingly raise 6 billion francs to the State as bonds redeemable in shares must paid 12.5 and weighing potential 9.3 of the capital. The Confederation will not prevent UBS to pay a dividend in 2010. The group very modest profit in the third quarter, and this with a tax credit, still hoping to recover profits next year.
Tier-1 higher than 11
The path followed by Credit Switzerland is any other, although the Bank has lost 1.3 billion Swiss francs in the third quarter as a result of the financial crisis. The number two of the country used its existing shareholders, including sovereign wealth funds Qatar Holdings and Israeli participation society Koor Industries, to strengthen its capital stock regular and hybrid securities. "Our level of capital is above reproach and one of the best in the world." "This will enable us to seize the opportunity", noted the Director-General, Brady Dougan. The operation is complete, and Credit Switzerland above the level of own funds referred to 2012, confirms the Swiss banking regulator without giving its thresholds. The Tier-1 is 13.7 against 10.4 previously. UBS is thought to be 11.5 at year end, off events in the last quarter. What do think about other European banks.
