Shares of Germany’s Deutsche Bank drop sharply on prospect of 3Q loss
By APWednesday, September 22, 2010
Deutsche Bank shares drop on expected 3Q loss
BERLIN — Shares of Deutsche Bank AG fell sharply after the bank said it expected to post a third-quarter net loss.
Shares of Germany’s biggest bank closed down 8.4 percent at €41.02 ($54.91) Wednesday.
Deutsche Bank said Tuesday it expected a €2.3 billion charge stemming from its planned takeover of retail lender Deutsche Postbank AG to result in a third-quarter loss.
It said that, even before the charge, it expected net profit “significantly below” the level of last year’s third quarter — “consistent with its earlier expectations and the poorer market conditions during the summer months.”
Deutsche Bank plans to raise around €10.2 billion through a capital increase to help finance the full takeover of Postbank.
