You've earned it!
One has rarely, in recent years, had opportunity to see the terms “RBS” and “good news” in near proximity.
There have been massacres, and there have been your more run-of-the-mill five-figure layoffs. Those have led to decisions like "now’s maybe not the best time to be adding to the headcount."
Then you've got your seven (going on eight!) consecutive annual losses. There are the scandals. And, of course, the concomitant fines.
Today, however, RBS does indeed have some good news!
In addition to readying another £2.5 billion in fine payments, the bank is also taking a £1.6 billion charge to cover a pension shortfall... Yes, for RBS, that qualifies as good news.
Doing so means it won’t have to make any more top-up payments until after 2019, protecting profits for the next three years. It will also reduce the discretionary capital charge that U.K. regulators have applied to cover uncertainty about its pension scheme deficit. And that, as noted by Jefferies, will lower the bank’s overall capital requirements.
The Good News in RBS’s Billion-Pound Charges [WSJ MoneyBeat blog]
RBS Warns of Loss After Raft of Charges [WSJ]