The Credit Suisse (CSGN.SW) board member in charge of risk has decided to jump before he was pushed, as the Archegos Capital blowup claims yet another scalp at the bank.
Credit Suisse on Friday said Andreas Gottschling had told the board he would not stand for re-election at the bank's annual general meeting of shareholders. The announcement came just hours before the AGM.
German Gottschling has sat on the bank's board since 2017 and chaired Credit Suisse's risk committee, as well as sitting on its governance and audit committees.
Watch: Credit Suisse reports loss from Archegos scandal
His exit follows pressure ahead of the AGM. Earlier this month, shareholder advisory group Glass Lewis urged shareholders to vote against his reappointment after a string of risk management scandals at the bank.
The Financial Times reported this week that shareholders were amassing votes to oust Gottschling. The paper reported on Thursday that the board were considering withdrawing his re-nomination vote in light of the mounting pressure.
The looming rebellion followed a series of costly scandals at the bank linked to poor risk management. Credit Suisse has been caught up in the collapse of Greensill Capital and Archegos Capital — two of the biggest financial collapses of 2021.
The collapse of Archegos, a New York hedge fund that imploded last month, has cost Credit Suisse over $5bn. Credit Suisse was forced to ask shareholders for $2bn to repair its balance sheet earlier this month. The bank has not yet disclosed the scale of damage from Greensill but warned losses are likely.
Gottschling is the third senior Credit Suisse executive to lose his job over the scandals. Brian Chin, chief executive of the investment bank, and Lara Warner, chief risk and compliance officer, were both pushed out at the start of the month.
Former Lloyds Bank chief executive Antonio Horta-Osorio was confirmed as Credit Suisse's new chairman at the bank's AGM on Friday.
"We need to foster a culture that reinforces the importance of risk management, ensures that we have the right incentives in place, including on remuneration, and focuses on personal responsibility and accountability," Horta-Osorio said in a statement published after his appointment.
"A tough period and hard decisions lay ahead of us. There are no miracle quick fixes nor such things as infallibility. You have my personal commitment that I will work relentlessly with the Board and the management team to take on the challenges that lie ahead of us.”
Credit Suisse shares were a third of a percent lower in Zurich by late morning.
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