ZURICH: Swiss banking giant Credit Suisse warned Wednesday that it will face a loss in the first quarter due to the impact of longstanding legal matters and Russia’s invasion of Ukraine.
The country’s second biggest bank said its results “will be adversely affected” by the Ukraine conflict to the tune of 200 million Swiss francs (195 million euros, $211 million) in lost revenue and provisions for credit losses.
Credit Suisse said it was also setting an extra 600 million Swiss francs aside for litigation that dates back more than a decade, bringing the total provisions for the cases to 700 million Swiss francs.
The bank will also see losses of around 350 million Swiss francs from the decrease in value of its holding in Allfunds Group, a business-to-business platform.
Credit Suisse already suffered a loss in 2021 following the implosions of financial services firms Greensill and Archegos.
The bank said its first quarter losses will be partially offset by the recovery of 170 million Swiss francs that it had set aside in provisions related to Archegos, along with real estate gains of 160 million Swiss francs.
It will publish its quarterly results on April 27.
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