UBS rocked again as write-downs hit £37bn

Chairman Marcel Ospel has decided to step down, with sub-prime losses for UBS now totalling roughly $37bn. It comes as another European giant Deutsche Bank reports it will make an additional €2.5bn (£2bn) sub-prime related write-down. In its estimated Q1 results, UBS expects to record a SwF12bn (£6bn) loss and will undertake a SwF15bn (£7.5bn) fully underwritten rights issue to strengthen its deteriorating position. It has also announced it will form a new unit to hold its illiquid US real estate assets. “We believe this capital increase and the creation of a vehicle to separate pr...