Commerzbank to Cut 10,000 Jobs as CEO Knof Drops Growth Plan
- Lender to focus on profitability over revenue growth
- Supervisory board to discuss new strategy next month
Manfred Knof
Photographer: picture alliance/Getty Images
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Commerzbank AG is proposing a major restructuring that will include 10,000 job cuts as new Chief Executive Officer Manfred Knof prioritizes cost reductions over efforts to boost revenue.
The lender on Thursday outlined the cornerstones of its new strategy, including a reduction in the number of German branches to 450 from 790, lowering the cost base by 1.4 billion euros and aiming for a return on tangible equity of 6.5% to 7% by 2024. The draft strategy, which confirms an earlier report by Bloomberg News, will be discussed by the supervisory board on Feb. 3.