NOT LONG AGO, UBS LOOKED TROUBLED...
-- Uncertainty over commitment to investment banking was sapping morale at UBS Warburg
-- Key asset-management operations were losing clients and market share
-- Soaring costs were slicing profits
-- Conflicts between the chairman and the president were roiling management
...BUT THE PICTURE IS MUCH BRIGHTER NOW...
-- Board decided to keep investment banking
-- Acquisition of PaineWebber buttressed both UBS Warburg and asset management
-- Firm cost and risk-management controls introduced
-- Appointment of new president defused tension
...YET CHALLENGES REMAIN
-- Switching from growth-by-acquisition to organic expansion
-- Plugging investment-banking gaps
-- Pushing the UBS brand name more energetically