(Bloomberg) -- Credit Suisse Group, Switzerland's second-biggest bank, said losses in the fourth quarter were larger than previously reported after it booked more charges for a probe into tax evasion by U.S. clients.
The net loss amounted to 476 million Swiss francs ($534 million), the Zurich-based bank said today, as it set aside an extra 468 million francs, primarily related to the U.S. investigation. Credit Suisse had restated results for the quarter last month, reporting a loss of 8 million francs after a 275 million-franc charge to settle lawsuits over mortgages sold to Fannie Mae and Freddie Mac.
Credit Suisse has been a target of a criminal investigation by the Department of Justice over former cross-border private- banking services to American customers. The additional reserves put the estimated cost of a settlement at more than the $780 million that UBS AG, Switzerland’s biggest bank, paid in 2009 to avoid criminal prosecution.
“That’s disappointing,” said Christopher Wheeler, a London-based analyst at Mediobanca SpA. “They’re certainly further down the road than they were before. I think that’s not the full works yet.”
The company’s shares fell 0.1% to 29 francs at 9:16 a.m. in Zurich. The Bloomberg Europe Banks & Financial Services Index rose less than 0.1 percent.
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