Lunchtime Links: Feel fortunate that you don't work at Commerzbank
One year on, and Commerzbank is still suffering for its acquisition of Dresdner at the peak of the market. Today it reported a €4.5bn loss for the full year, including €137m of trading losses in the corporates and markets division in the fourth quarter.
As the Wall Street Journal points out, it didn't help that Commerz spent €1.9bn for the pleasure of integrating Dresdner over the past year, and will need to spend a further €2.5bn to continue the process over the year to come.
Nor does it help that Dresdner contributed 70% of the assets in the so-called 'Portfolio Restructuring Unit,' which Commerz predicts could lead to further problems in 2010.
The corporate and markets division, which contains the rump of Dresdner Kleinwort, doesn't look like a happy place to be. In the presentation accompanying its results, Commerz said that it's cut 1,562 jobs there so far - 21 more than anticipated. It also revealed that the cost income ratio in the division stood at a painful 107% for 2009.
Unsurprisingly, therefore, Commerz bankers are unlikely to be well paid. The bank doesn't split out pay or headcount for its corporates and markets division, but across the business as a whole, pay per head was €75k last year. At Deutsche, the comparable figure was €147k.
Traders aren't making money. (The Street)
Wall Street bonuses up 17%. (Reuters)
But this year's Wall Street bonus pool probably down 33% on 2007. (NY Post)
Eric Daniels doesn't want his bonus either. (Guardian)
It is rather curious that Mr Daniels qualified for the maximum bonus. (The Times)
Merrill's repetitive practice of having to win back executives it once kicked to the curb suggests a troubling management style. (New York Times)
"One country after another will collapse into a debt and currency crisis, all the way to America." (Global Research)
Are derivatives the real problem? (Alphaville)
What happened in the shadow banking market? (Marginal Revolution)
Secret AIG document shows Goldman minted the most toxic CDOs. (BusinessWeek)
About 200 Greek trade unionists have blocked the entrance to the Athens Stock Exchange. (Alphaville)
UBS is now losing private bankers in Singapore. (Bloomberg)
Nomura hires a senior researcher in HK. (Bloomberg)
When you get a job without talking about yourself, you learn something profound about hiring managers' motivation. (Huffington Post)
Everything you need to know about switching careers into teaching. (Guardian)
Department Of Labor Spends $40 Billion To Create One Amazing New Job. ((Vintage) Onion)
