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Commerzbank boss resigns

Posted on Jul 3, 2020 at 7:46 p.m.

Commerzbank Chairman Martin Zielke surprised his resignation during a discussion on a new restructuring , the second German bank announced on Friday.

This resignation of Martin Zielke, boss of the bank since May 2016, must still be validated on July 8 by the bank’s supervisory board, according to a press release. The chairman of the supervisory board, Stefan Schmittmann, has also announced his resignation, which is to take effect in early August.

Martin Zielke’s contract expires ” quickly ”And no later than December 31, 2020, recommended two specialized committees of the Supervisory Board on Friday.

The bank, which is almost 16% owned by the German state, has recently been the subject of harsh criticism from its second largest shareholder, the American fund Cerberus, which accused in writing the management of Commerzbank of failure and failing strategy .

Savings plan

The establishment is currently discussing new savings to be made while undergoing the effects of the coronavirus crisis . But these discussions are bogged down, to the point that an extraordinary meeting of the Supervisory Board scheduled for Wednesday was canceled at the last minute, according to the DPA agency.

The net profit in 2019, positive of 644 million euros but declining over one year, had suffered from a social plan launched in the fall providing for the departure of 4,300 employees worldwide, or 2,300 net. Management also decided in the fall to close around 200 branches, or one in five of its network in Germany.

German media has recently indicated that the bank could cut up to 7,000 additional jobs worldwide and further close around 400 branches in Germany. At the end of the first quarter of 2020, it had approximately 39,800 full-time employees.

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