Credit Suisse

(CS) - Get Report

reported a third-quarter loss of 1.26 billion Swiss francs, confirming statements made last week, from year-earlier net income of 1.3 billion francs.

Core net revenue in the quarter fell 48% to 3.11 billion francs, the company said Thursday.

"The financial services sector witnessed unprecedented market disruption in September and extraordinary changes to the competitive landscape," said CEO Brady Dougan in a statement. "These events led to a very difficult operating environment, particularly in investment banking."

The Zurich-based bank reported a pretax loss of 3.2 billion francs in investment banking, reflecting writedowns of 2.4 billion francs in the leveraged finance and structured products businesses and adverse trading conditions in September.

The bank said it plans to "continue to invest in private banking and transform investment banking, reducing our overall risk and diversifying our revenue streams." Credit Suisse expects the market environment to remain "very challenging" and said it's cautious with regard to its fourth quarter.

Last week, Credit Suisse said it raised 10 billion francs from private investors, including the Qatar Investment Authority, declining to participate in measures by the Swiss government to prop up the country's banking system.

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