In the second quarter of 2012 theDeutsche Bank's exposure to Italian government bonds increased by 29%, coming in at €2,516 billion from €1,953, while exposure to Government bonds of Spain, in the same period, fell by 35%, going from 1,358 billion euros to 873 million.
The German banking group announces it in a note, in which it also communicates that it has closed the quarter with a sharp decline in net profit, at 661 million euro against the 1,2 billion recorded in the same period of 2011. According to management, Deutsche Bank is paying for the persistence of the crisis and its effects on sovereign debt in the Eurozone and on investor confidence.
It is this morning's news that the German institute intends to implement a cost reduction plan for approximately 3 billion euro, which will be saved mainly by cutting 1900 employees, mostly from the investment banking division, which has its headquarters in London.
