This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

UBS to Write Down Another $10 Billion

"In the last several months, continued speculation about the ultimate value of our subprime holdings -- which remains unknowable -- has been distracting. In our judgment, these writedowns will create maximum clarity on this issue and will have the effect of substantially eliminating speculation," he continued. "Together with the strengthening of our capital base this will allow us to concentrate on sustaining and developing our client businesses."

UBS' colossal writedown comes as securities firms including Merrill Lynch (MER) and Citigroup (C - Get Report) struggle to regain footing as the credit crunch and housing downturn takes a toll on their securities businesses. Both firms, which took billions of losses from CDO writedowns in the third quarter, ousted their CEOs as a result.

Merrill Lynch has since hired former NYSE Euronext (NYX) CEO John Thain to head up the brokerage firm.

Citi is reportedly close to hiring a new CEO. The financial giant's board is expected to pick a new CEO at a board meeting scheduled for Monday and Tuesday, according to The Wall Street Journal.

Citi also recently benefitted from a large foreign investment as it battles the recent credit environment. The Abu Dhabi Investment Authority last month invested $7.5 billion in the firm.

Shares of UBS most recently rose 96 cents, or 2%, to $51.44 in trading on the New York Stock Exchange.

2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
NYX $0.00 0.00%
C $52.81 -0.17%
UBS $20.10 -0.57%
AAPL $134.68 3.40%
FB $81.81 0.34%

Markets

DOW 18,037.97 -42.17 -0.23%
S&P 500 2,108.92 -8.77 -0.41%
NASDAQ 5,060.2460 -31.8390 -0.63%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs