HSH Nordbank axing 500
German shipping lender HSH Nordbank is to axe 500 workers as part of a cost-cutting drive.
HSH: workers leaving
It will retain 2,100 staff as it looks to chop EUR 170m ($212m) from its expenses by 2017, chief executive Constantin von Oesterreich told the business daily Handelsblatt.
“We have to show that the business model of our core bank works,” he added.
Last month, HSH passed the European Central Bank’s (ECB) stress test thanks to the huge guarantee provided by its federal owners.
The central bank found the shipping lender had a Core Equity Tier 1 capital ratio (CET1) of 10\%, “comfortably” exceeding the required minimum of 8\%.
In the “extreme scenario” test, its CET1 was 6.1\%, above the 5.5\% minimum.
“The replenishment of the guarantee from EUR 7bn ($8.88bn) to EUR 10bn by the federal states of Hamburg and Schleswig-Holstein in summer 2013 made a substantial contribution to this,” HSH said.
source:www.tradewindsnews.com
