£30 billion loss at RBS prompts savage job cuts

Discussion in 'Wall St. News' started by ASusilovic, Feb 15, 2009.

  1. ROYAL BANK OF SCOTLAND boss Stephen Hester is to unveil a brutal cost-cutting exercise, alongside record losses of close to £30 billion, that are expected to lead to a further 10,000 to 20,000 job cuts.

    Hester has told his most senior lieutenants to draw up a new business plan, measured against five key financial metrics.

    The move will lead to hundreds of millions being stripped from the bank’s global cost base over the next three to five years.

    The project is also expected to see the bank exit a number of countries in emerging markets, and sell off dozens of businesses now deemed to be non-core.

    RBS is considering selling off parts of ABN Amro that it acquired in 2007 as part of a three-way consortium with Spain’s Santander and Belgian bank Fortis.

    It has already begun talks with the Dutch government, which may acquire certain operations in the Netherlands and parts of the group’s international operations.

  2. when I think of those stupid Tiger Woods ads they probably wasted millions on ,I have very little simpathy for the conventional STUPID thinking most big banks have.........