Deutsche Bank managers to examine deeper cuts to business

Profits across Europe's banks have been generally sinking, as economic growth remains at a low ebb, interest rates stay at rock bottom and the task of sifting through billions of euros of risky loans continues.

Deutsche Bank's home market itself has too many banks that make too little money for the industry to be sustainable in Germany in its current form, Cryan said.

Speaking at a financial conference on August 31, Deutsche Chief Executive John Cryan said: "There are simply too many banks in Germany". However, the European stock for both banks rose after the reports were released on Wednesday by the Germany's Manager Magazin.

"If we look at Germany in particular, it hasn't gone through that wave of consolidation like Spain has, Italy seems to be moving in that direction and France has been through it", Cryan said. The bank has also explored a possible merger with its biggest German competitor, Commerzbank AG, though the sides have abandoned the idea for now as they focus on internal steps, according to a person familiar with the discussions.

Cryan brushed aside reports of the talks with Commerzbank on Wednesday, saying Deutsche Bank isn't looking for a merger partner and is concentrating instead on becoming "a bit smaller", at a banking conference hosted by Handelsblatt newspaper.

2 September 16_2

Both Cryan and Commerzbank chief Martin Zielke, speaking at the same conference, said Germany was burdened by too many banks. He also slammed the use of ultra low interest rates.

"Deutsche is a very juicy takeover target", said Neil Wilson, analyst at ETX Capital.

MILAN, Aug 31 European shares edged lower on Wednesday, weighed down by losses among miners and energy stocks, but banks extended recent gains amid talk of possible tie-ups in the battered sector.

The bank's total assets were down to 1.8 trillion at the end of the quarter, from 2.2 trillion at the end of 2008, but up 6 percent year-on-year and analysts have often criticized the slow pace of asset cutbacks.

PM Modi to hold talks with Myanmar President Htin Kyaw today
And after supplying power to Tamu, India was willing to "substantially scale up" the supply of power to Myanmar, he said. He said they had also agreed to work towards a long-term and a mutually beneficial arrangement for trade in pulses.


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