Germany
FRANKFURT: Deutsche Bank AG is radically reshaping its top leadership, with at least two board members departing in an overhaul aimed at stemming the German lender’s downward spiral.
The management board has already lost investment bank chief Garth Ritchie and the departure of two fellow board members -- retail head Frank Strauss and Chief Regulatory officer Sylvie Matherat -- could be announced as early as Sunday, according to people familiar with the matter. As many as two new members may be added, one person said.
The restructuring will also involve executives below the management board. Stefan Hoops will be promoted to head a new division, probably comprised of the transaction bank and the lender’s commercial-clients unit, and Mark Fedorcik will oversee the investment bank, people familiar said, asking not to be identified as the discussions are private.
Chief Executive Officer Christian Sewing is poised to announce the largest restructuring in at least a decade on Sunday. Along with deep cuts to the investment bank, it will also involve reorganizing the company’s divisions to boost the profile of the transaction bank as well as a shake-up of the management board.
Strauss has been on Deutsche Bank’s management board for just less than two years. He was previously CEO of Postbank, a German subsidiary of Deutsche Bank that it previously wanted to sell but decided to keep in 2017.
Hoops, the current transaction bank chief, will be in charge of a fourth core division that Sewing plans to create, the people said, asking not to be identified discussing the private deliberations. He and Fedorcik won’t immediately gain seats on the management board, a person said. - Bloomberg
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