Brady Dougan, CEO of Credit Suisse Group AG (NYSE:CS), told a newspaper today that the bank’s restructuring is not going to lead to a split. Dougan’s interview is scheduled to appear in Wednesday’s edition of Finanz and Wirtschaft, a Swiss publication. He also said that the decisions they made have nothing to do with a U.S. tax probe that’s been going on for some time.
Credit Suisse Group AG (NYSE:CS)’s restructuring plan includes putting its private banking division under the control of its asset management division. It also calls for absorbing some of the activities of its investment bank. All of these changes have triggered some shake-ups in management.
Earlier today the bank promoted Gael de Boissard to co-run its investment bank, heading up fixed income and the bank’s regions of Europe, Asia, and the Middle East. Eric Varvel, who currently runs the investment banking division, will add the equities division to his responsibilities. He also becomes the bank’s Asia-Pacific chief executive. Current asset management chief Robert Shafir will join Hans-Ulrich Meister at the helm of the bank’s private banking division.
All of these changes mean major adjustments in who would succeed Dougan, although there’s no sign of his departure any time soon. According to Reuters, the bank’s succession plan has been scrutinized since the central bank in Switzerland pressured the bank to raise more capital.
Credit Suisse Group AG (NYSE:CS) said their restructuring plan will bolster their cuts of 1 billion in Swiss francs. They said also that the new structure should meet the new demand of regulators, which now require plans that pull the Swiss business apart from its other arms, like those in other countries.