The Swiss bank may soon provide an indication as to whether it will have to book as much as $1.4 billion in additional legal costs.

Switzerland’s second-largest bank last week warned that it may have to book as much as 1.4 billion Swiss francs ($1.45 billion) in additional legal provisions for some of the cases it was facing, a number double that of the 703 million francs it already set aside in the first quarter.

When disclosing its performance last week, it indicated that its full first-quarter report was not yet final and that the auditors had not yet completed their review of its financial statements, and that it expects to release the full, completed one by this Thursday (May 5).

The first-quarter release indicated that the 703 million number relates to «previously disclosed matters», most of which were in its Corporate Center and Wealth Management business. But it also mentioned «certain proceedings» without going into further detail, saying that it estimated the possible losses from them as anything from «zero to 1.4 billion».

Standard Procedure

However, making such allowances is standard procedure. In the third quarter, a range of up to 1.4 billion francs was given for provisions and was even higher in the fourth quarter at 1.6 billion francs.

«The Group does not believe that it can estimate an aggregate range of reasonably possible losses for certain of its proceedings because of their complexity, the novelty of some of the claims, the early stage of the proceedings, the limited amount of discovery that has occurred and/or other factors,» Credit Suisse indicated in its earnings release last week.

This means that the bank is likely judging whether some of those cases are material enough to compel the bank to disclose the additional provisions by Thursday or not.

Continued Fallout on All Sides

The bank continues to be dogged by controversy and faces fallout from all different sides following last year’s Greensill and Archegos debacles. On Friday, its shareholders denied discharging the executive board and the board of directors for the 2020 financial year.

A Reuters report over the weekend also indicated that the bank faces a US class-action lawsuit alleging the bank misled investors when dealing with Russian oligarchs over the securitization of a loan portfolio that used the yachts and private jets of wealthy clients.