Adverse trading conditions meant bonuses at the CS First Boston subsidiary were slashed. This helped to cut group costs by 11 per cent to Sfr2.3bn ( pounds 1.15bn).
CS's trading income fell to Sfr1.27bn for the six months to 30 June, compared with Sfr2.24bn last time. This included trading in interest rate instruments, securities, foreign exchange and precious metals.
Group pre-tax profit fell by over a quarter to Sfr734m. Pre-tax income from private banking and asset management contributed Sfr2.09bn, over a third of group income, which overall was down 6 per cent. The bank set aside Sfr914m for losses, write-downs and provisions.