Here are some things that happened in the year 2000: AOL and Time Warner merged; Wall Street anthem American Psycho premiered at Sundance; Hillary Clinton was elected to the US Senate; Tiger Woods became the youngest player to win a golf Grand Slam; Sony’s PlayStation 2 was released; Eminem's mother sued him for $10 million over the line "My mother smokes more dope than I do" from "My Name Is"; Dan Marino's jersey was retired by the Dolphins; Bill Gates passed the Microsoft CEO baton to a guy named Steve Ballmer; the Mets beat the Cardinals in the National League Championship. Oh, and Credit Suisse First Boston agreed to buy Donaldson, Lufkin & Jenrette for $11.5 billion. For most people, that last event is of little import. For current Credit Suisse employees? Some of whom had only recently learned where babies come from at the time of the acquisition? It is going to leave a mark!
Credit Suisse Group AG (NYSE: CS), Switzerland’s second-biggest bank, may need to cut bonuses by as much as 60 percent this year because of losses incurred by a writedown, according to calculations made by Schweiz am Sonntag. Chief Executive Officer Tidjane Thiam wants to substantially write down assets following the acquisition of investment bank Donaldson, Lufkin & Jenrette in 2000. Impairment charges on 6.3 billion francs ($6.3 billion) in legacy assets could lead to an annual loss of 2.6 billion francs to 2.8 billion francs, the newspaper reported. The bank may thus need to slash bankers’ bonuses by as much as 60 percent, in accordance with rules set by the Swiss Financial Market Supervisory Authority, or Finma, according to the newspaper. The supervisor requires financial institutions to cut bonuses in case of financial loss.