Swiss Government Holds Talks on Options to Stabilize Credit Suisse
- Central bank issued public statement of support and backstop
- Options floated also include Swiss unit separation, UBS tie-up
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Swiss authorities and Credit Suisse Group AG are discussing ways to stabilize the bank, according to people familiar with the matter, after comments by its biggest shareholder and broader financial market jitters helped trigger a plunge in the stock on Wednesday.
In a first salvo to shore up confidence in the battered lender, Switzerland’s central bank and financial regulator said the bank will receive a liquidity backstop if needed, according to a late statement on Wednesday. The regulator confirmed Credit Suisse meets the capital and liquidity requirements it imposes on systemically important banks.