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Settlement Watch '14: UBS

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The Swiss may be parting with $8 billion in the near term, approximately $6.5 billion more than it was aiming for.

UBS could end up paying a whopping $8 billion in fines to settle a probe into rigged currency markets — that’s more than five times what it paid to settle charges it manipulated interest rates, according to a research report. The Swiss bank had reportedly been cooperating with regulators in the US and UK in hopes of getting a lenient fine. UBS self-reported its manipulation of WM/Reuters exchange rates, hoping that a confession of its wrongdoing would absolve it from punishment. The bank paid about $1.5 billion in fines for rigging Libor, the interest rate used by banks on trillions of dollars of loans made to other banks.

UBS may face $8B in fines to settle currency probe [NYP]


Bonus Watch '13: UBS

The Swiss bank will reportedly announce today that it's going to be doing things a little differently around here re: compensation. One, deferrals will start at $250,000 and two, rather than being paid in UBS stock, the non-cash portion of 6,500 senior employees' bonuses will come in the form of subordinated debt that can and will be wiped out in the event the amount of capital on hand falls below the level required by EU regulators, putting the onus on everyone to make sure no one pulls an Adoboli and avoids multi-billion dollar fuck-ups in general.

Bonus Watch '13: UBS

Not everyone received a package that resulted in a nice long cry. Andrea Orcel, for example, did pretty okay for himself.