FRANKFURT: Deutsche Bank, Germany's biggest bank, said Wednesday that write downs and litigations costs hit its 2012 earnings harder than expected and it has now been forced to restate last year's profits.
"New developments related to specific existing legal matters have occurred after the disclosure of (our) preliminary, unaudited 2012 results on January 31," Deutsche Bank said in a statement.
"Based on these developments ... the bank has increased its provisions for litigation by 600 million euros ($774 million) to 2.4 billion euros.
"This reduces the previously announced income before income taxes by 600 million euros ... and net income by 400 million euros," it said.
Deutsche Bank is currently being investigated over allegations that some of its employees may have been involved in rigging the Libor and Euribor interest rates.
And one of its co-chief executives, Juergen Fitschen, is among a number of top-ranking managers under suspicion of being privy to a scheme to avoid paying sales tax in the trading of carbon emissions certificates.
Deutsche Bank's restated year-end net profit now stood at 291 million euros in 2012, compared with 4.326 billion euros in 2011.
Pre-tax profit plummeted to 784 million euros from 5.39 billion euros.
Comments
Comments are closed for this article.