Nomura Said to Cut Dubai Foreign Exchange Trader Position

Nomura Holdings Inc., Japan’s largest brokerage, eliminated three foreign exchange trading jobs in Dubai as the company seeks to reduce costs by about $1 billion, said a person briefed on the plan.

The traders left the bank last week, the person said, asking not to be identified because the matter hasn’t been made public. A spokeswoman for Nomura in London, who asked not to be named citing corporate policy, declined to comment.

Nomura is seeking to pare costs after it bought Lehman Brothers Holdings Inc.’s European and Asian units in 2008. The bank is overhauling its operations to make all overseas businesses profitable by the year ending March 2015, Chief Executive Officer Koji Nagai said in December.

The cuts come after the bank trimmed staff at a business that allows foreigners to invest in Saudi Arabia’s equities market, a person familiar with the matter said this month. John Phizackerley, chief executive officer for Europe, Africa and the Middle East, is also said to have left the bank this month.

Nomura said in September it will reduce costs by $450 million in Europe and the Middle East, $210 million in the Americas and $340 million in Asia, including Japan. About 45 percent of the cuts worldwide will be from trimming staff, with the rest coming from reducing other operational expenses. The bulk of the job losses will be in investment banking and equities, it said.

The company’s shares advanced 1.2 percent to 578 yen in Tokyo trading today, bringing its gain this year to 15 percent.

(Updates with cost-cutting plan in penultimate paragraph.)
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