New chairman António Horta-Osório outlined his priorities for the embattled Swiss bank and gave a key vote of confidence. Predecessor Urs Rohner apologized for repeatedly letting down investors and employees.
More than 96 percent of shareholders backed António Horta-Osório as the new overseer of Zurich-based Credit Suisse on Friday. The Portuguese-British banker, who bowed out from the top Lloyds job with a surge in profit on Thursday, is taking over effective immediately from Urs Rohner.
The 57-year-old Horta-Osório will lead a bank in crisis, following the blow-up of a $10.1 billion line of Greensill funds as well as a $4.7 billion hit from Archegos – both last month. He told shareholders Credit Suisse's crisis represent the worst he has ever faced, in his first public remarks on the Swiss bank.
CEO Enjoys Backing
Horta-Osório told Credit Suisse investors he will focus on risk management, on strategy, and on culture at Credit Suisse. CEO Thomas Gottstein (pictured below at left, with Horta-Osório) enjoys the board's confidence, Horta-Osório said at the meeting, which was conducted online for the second year in a row.
Besides Rohner, the board's risk overseer Andreas Gottschling also stepped down amid massive shareholder criticism of risk lapses which enabled the costly accidents.
No Quick Fixes Or Miracles
Horta-Osório warned that investors and employees should not expect quick fixes or miracles as the Swiss lender embarks on an extensive review of its long-term strategy. «We will take the time required for an in depth assessment of the bank's strategic options,» he said.
«This will be done with a long term perspective, not losing sight of the short term needs. Then we'll decide on a course of action and closely oversee the execution.» Horta-Osório didn't outline any specifics in brief remarks.
Precipitous Stock Drop
Rohner, who presided over a precipitous drop in Credit Suisse's share price over the past decade, apologized to shareholders and employees in personal remarks following the meeting. «We have disappointed you, and not for the first time. I apologize for that,» he said.
Credit Suisse shareholders elected Blythe Masters, a former top J.P. Morgan investment banker-turned-blockchain CEO and Clare Brady, a veteran of both the World Bank and International Monetary Fund, as board directors.
