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Credit Suisse (CS) aims to strengthen its capital base via its earnings and has no plans to...

  • Sunday, June 17, 2012, 9:58 AM ET
    Credit Suisse (CS) aims to strengthen its capital base via its earnings and has no plans to issue new shares, CEO Brady Dougan tells the SonntagsZeitung paper. "We assume that we will generate enough profit in the coming quarters to create extra equity capital," says Dougan, who was reacting to SNB comments that sent its shares spiraling on Thursday.
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This news story has 4 comments:

  • Perhaps CS will not have to issue new shares. Will be interesting to see how market reacts to this statement by the CEO.
    17 Jun 2012, 11:06 AM Reply Like
  • IMHO, earnings don't add to equity capital. That's not the way it happens on a Balance Sheet. What CS seems to be saying is that they will be happy to de-lever.
    17 Jun 2012, 01:20 PM Reply Like
  • Perhaps they are expecting to profit from those Maiden Lane purchases from the Federal Reserve. If they really were in a bad position for raising capital, it's funny that they are still bidding on those assets.
    17 Jun 2012, 02:08 PM Reply Like
  • "We assume that we will generate enough profit in the coming quarters to create extra equity capital," he said, adding that the bank was also offering shareholders the choice of receiving their dividends in shares, which demands less capital." from the article.

    I hope he knows enough about business to run the bank. Since when did profits at to equity capital?
    17 Jun 2012, 08:06 PM Reply Like
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