UBS ends rescue packages from Swiss gov't that paved way for Credit Suisse takeover
UBS says it has shut down rescue packages agreed with Swiss authorities that made available up to 200 billion Swiss francs (about $230 billion) to help shepherd through its takeover of ailing rival Credit Suisse and avert an international banking crisis
GENEVA (AP) — UBS said Friday it has shut down rescue packages agreed with Swiss authorities that made available up to 200 billion Swiss francs (about $230 billion) to help shepherd through its takeover of ailing rival Credit Suisse and avert an international banking crisis.
The Zurich-based banking giant, which completed the takeover on June 12, said it had moved to “voluntarily terminate" rescue programs that aimed to help mop up billions of losses and provide liquidity to the banks as they moved forward on the complex deal.
UBS said it had repaid 50 billion francs in loans from the Swiss National Bank and 100 billion francs in liquidity support from the Swiss government while ending a 9 billion franc “loss protection agreement” with the government.
In total, UBS also paid some 730 million francs in commitment fees and risk premiums to Swiss authorities, comprised of 200 million to the government and 530 million to the national bank.
