November 30, 2001 |
The U.S. attorney's office in Manhattan has decided not to bring criminal charges against Credit Suisse First Boston over the firm's handling of initial public stock offerings during the late-1990s IPO boom, the investment bank announced Thursday. The U.S. attorney's office had been investigating how CSFB allocated shares of IPOs to investors as part of a far-reaching government probe of the IPO practices of major Wall Street brokerages.
November 29, 2001 |
Brokerage giant Credit Suisse First Boston said Wednesday it will sell its online trading arm to Bank of Montreal, rather than try to make a go of it in the increasingly competitive business. The Canadian bank will pay $520 million for the online unit, CSFBdirect. The business will be merged into Bank of Montreal's online investing arm, Harris InvestorLine.
October 4, 2001 |
Credit Suisse First Boston, a unit of Swiss bank Credit Suisse Group Inc., is cutting 20% of its global investment banking unit, or about 760 jobs, a company source said. CSFB, which hired Wall Street veteran John Mack in July to tighten controls at the firm, has about 3,800 employees worldwide in its investment banking operations, which include its private equity group, the source said. A CSFB spokeswoman declined to comment on the matter, which was first reported by financial TV station CNBC.
August 22, 2001 |
Credit Suisse First Boston, facing a federal probe into its handling of initial public offerings, said it hired Gary Lynch, the Securities and Exchange Commission's former top enforcement official, as general counsel. A partner at New York-based Davis Polk & Wardwell for 12 years, Lynch, 51, will take the post Oct. 1, becoming the second attorney named to a senior job since John Mack took over CSFB last month. Mack hired mergers lawyer Stephen R.
July 31, 2001 |
Wall Street strategists at brokerage giants J.P. Morgan Securities Inc. and Credit Suisse First Boston Corp. now agree that profits of the Standard & Poor's 500 companies will fare worse this year than previously thought. But they disagree as to whether that means investors should pile into stocks. J.P. Morgan's Douglas Cliggott, the most bearish major strategist on Wall Street, predicted Monday that S&P 500 earnings will fall 22% this year, and the index will sink to 1,100 by year's end.
July 13, 2001 |
Stung by a deepening government investigation into its U.S. operations, Credit Suisse Group ousted the head of its investment banking unit Thursday and replaced him with a well-respected Wall Street veteran. The No. 2 Swiss bank removed Allen Wheat as chief executive of its Credit Suisse First Boston brokerage operation and named John Mack, the former president of Morgan Stanley, in his place.
June 29, 2001 |
Credit Suisse First Boston on Thursday said it fired three San Francisco brokers who had been put on leave in April amid a federal probe of Wall Street firms' initial public offering sales practices. The three are apparently the first individuals to lose their jobs as a result of the widening government investigation. The brokers are John Schmidt, who was head of CSFB's private-client services in San Francisco; and two others in that group, Michael Grunwald and Richard S. Bushley.
June 19, 2001 |
Brokerage Credit Suisse First Boston continues to do brisk business as an underwriter and merger advisor so far this year, despite being hit by allegations that it may have violated securities rules in the 1999 and 2000 heyday of new stock offerings. Data show that CSFB has maintained last year's third-place ranking as a stock underwriter in terms of the dollar value of deals it has managed, though it has slipped slightly in bond underwriting and in merger advisory.
May 4, 2001 |
Frank Quattrone, Credit Suisse First Boston's head of technology banking, sent an e-mail to clients defending his business and describing critical news accounts of his practices as "inaccurate." Quattrone was responding to articles about a Securities and Exchange Commission probe into how CSFB distributed shares of initial public offerings arranged by his unit. Other firms also are being investigated.