Deutsche Bank Says Worsening Markets May Affect Goal

Discussion in 'Stocks' started by ASusilovic, Mar 26, 2008.

  1. Deutsche Bank AG, Germany's biggest bank, said the U.S. subprime collapse and slowing economic growth will make it harder to reach a full-year profit goal.

    Deutsche Bank fell as much as 2.9 percent in Frankfurt trading after it said further possible asset writedowns and worsening economic conditions would ``adversely affect our ability to achieve our pretax profitability objective.''

    The Frankfurt-based bank aims for pretax earnings of 8.4 billion euros this year, excluding one-time costs and charges, helped by growth from consumer banking and money management. Those units may not be able to offset a slowdown in investment banking should the economy weaken more than expected, the bank said in its annual report published today.

    ``The near-term outlook continues to be very challenging,'' Chief Executive Officer Josef Ackermann said in the report. ``Conditions remain difficult both in financial markets and the wider economy.''

    Deutsche Bank fell 1.62 euros, or 2.2 percent, to 71.88 euros by 9:09 a.m., bringing declines this year to 19 percent and cutting its market value to 38.2 billion euros. That compares with a 17 percent drop at the 60-member Bloomberg Europe Banks and Financial Services Index.

    U.S. consumer confidence fell more than forecast in March and home prices in January dropped by the most on record, supporting what economists say is almost certainly the second recession of the decade.

    Deutsche Bank may miss its 2008 forecast and earn 6.77 billion euros before taxes this year because of a slowdown in debt markets, according to the median estimate of 7 analysts surveyed by Bloomberg.

    Oh Acki, come on ! I thought you are MY MAN ! :(
  3. He is a Swiss, who according to the Germans, can't even speak German properly.
  4. I've been waiting for this scumbag bank to squeak.

    Open your paper to the foreclosures and I bet the named plaintiff you see with the greatest frequency across the US is DB.

    They were also absent from the list of banks and large servicers willing to cooperate with Paulson in the first plan he came up with to get them to work with borrowers.

    The role of irresponsible foreign banks in aggravating America's accelerating foreclosure problem would make a good topic for a piece in the business press - hint, hint.
  5. The Swiss:

    The Brit:

    The German:
  7. I'm not done with DB yet I decided.

    The shallowest part of The 9/11 Report, or any account of the September 11 attacks on the United States for that matter, is the financial and payments system angles.

    Parse what was written at the time though and guess which foreign bank comes up with the greatest frequency and then goes nowhere? :D