ANZ Group investors brace for short-term pain


Turbulent time: An ANZ bank branch in Melbourne. The bank agreed to pay a fine of A$240mil over misconduct, the country’s financial regulator said last month. — AFP

SYDNEY: ANZ Group investors are willing to back new chief executive Nuno Matos’ strategy to resuscitate the Australian bank’s flagging fortunes, but they are gearing up for near-term hits, including a possible dividend cut.

Over the last week, Australia’s fourth-largest lender said it would cut 3,500 staff at a one-off cost of A$560mil or about US$373.24mil and pay A$240mil of penalties to the corporate regulator over systemic failures including acting “unconscionably” in a government bond deal.

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