Commerzbank slashes revenue forecast as board approves broad overhaul



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Commerzbank slashes revenue forecast as board approves broad overhaul

On Thursday, the 26th of September 2019, Commerzbank AG, the Frankfurt-based German lender which had posted an annual revenue of €8.57 billion last year, issued a statement saying that the lender had not been expecting any kind of revenue growth this year, as the German lender’s supervisory board had approved a plan last week to slash thousands of jobs and shut down one-fifth of its branches as part of a broad-based overhaul of the German financial service provider following its failed merger attempt with Germany’s No.

1 lender Deutsche Bank. Aside from that, the Commerzbank AG, partly owned by the German government had also added in its Thursday’s (September 26th) statement that one of the struggling lender’s supervisory board members, Bettina Orlopp would be supplanting its current Chief Financial Officer, Stephan Engels, while Sabine Schmittroth would act as supervisory board member of its human resource department.

In point of fact, latest axing of its full-year operating profit forecast came forth a day after management board of Commerzbank AG had agreed to a plan to sell its stake in Polish subsidiary mBank, while the German lender’s supervisory had also approved a divestment of its online brokerage unit, Comdirect.

Meanwhile, clarifying its downsizing of full-year revenue forecast for 2019, Commerzbank AG said on Thursday’s (September 26th) statement, “Over the course of 2019, the market environment has continued to deteriorate further. This has been particularly evident in the corporate client’s business. ”