By Mauro Orru

 

Credit Suisse Group AG is withdrawing certain proposals it planned to put to shareholders at its annual general meeting in early April, citing the planned merger with UBS Group AG.

The troubled Swiss bank said late Wednesday that it is pulling proposals on the discharge of members of the board of directors and the executive board for the 2022 financial year, as well as a separate proposal on a one-time deferred share-based so-called transformation award for the executive board.

Credit Suisse has seen years of financial and reputational missteps that led to substantial customer outflows in recent months. Those withdrawals accelerated when the collapse of Silicon Valley Bank focused attention on weakest links among global banks.

UBS agreed to take over Credit Suisse earlier this month for $3.2 billion, a move pushed by Swiss regulators who sought to avert further damage to the banking system.

Given the circumstances, Credit Suisse said it isn't allowed to resolve on and distribute a dividend for the 2022 financial year, though shareholders must still vote on the appropriation of retained earnings due to Swiss legislation.

Shareholders will vote exclusively on the appropriation of retained earnings, and not the part of the resolution on the ordinary dividend, the bank said.

 

Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94

 

(END) Dow Jones Newswires

March 30, 2023 01:36 ET (05:36 GMT)

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