- Credit Suisse (CS) has sold bonds valued at $5B just days after agreeing to pay $2.6B to settle U.S. charges that it helped American citizens evade taxes. The offering is in three separate tranches.
- Despite the hefty fine, which will reduce Credit Suisse’s common-equity ratio to 9.3% from 10%, the bond market does not look like it is penalizing the Zurich-based giant. S&P and Moody's haven't downgraded their ratings on the bank, although the latter has assigned a negative outlook.
- "While the fines are manageable, the financial impact should not be understated," warns analyst Simon Adamson.