Deutsche Bank Posts $220M Loss—First in 5 Years

German bank loses $220M on billions in writedowns
By Jason Farago,  Newser Staff
Posted Apr 29, 2008 6:41 AM CDT
The headquarters of Germany's biggest bank, Deutsche Bank in Frankfurt, Germany, is seen in this Dec. 10, 2004 picture.   (AP Photo/Michael Probst)
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(Newser) – Deutsche Bank posted its first quarterly loss in 5 years today, reflecting the impact of the credit crisis on its investment banking activities. Germany's largest bank reported a net loss of $220 million and admitted that the short-term outlook for the firm remained highly uncertain. Deutsche also took $4.2 billion in writedowns, writes the Financial Times.

Josef Ackermann, Deutsche's CEO, called the quarter "the most difficult in recent memory," as revenues from the bank's trading operations plunged. Although losses were severe, they were lighter than outside observers had estimated, and more "stable" sectors, such as private asset management, remained profitable. Shares in the bank were down 1.2% this morning in Frankfurt.