The bank plans to cut 18,000 jobs and shrink its global equities business. Top executives will leave, including its investment banking chief, and $300 billion worth of assets will be hived off in a “bad bank” to be sold off over time. The layoffs have already begun.
The firm will refocus its efforts on serving European companies and retail-banking customers, pulling back from nearly two decades of trying to compete with Wall Street giants. But its C.E.O., Christian Sewing, said this morning that the U.S. remains a core market for the bank.
The plan will cost the lender 7.4 billion euros, or $8.3 billion, in severance payments and other expenses through 2022. Dividends will be suspended for 2019 and 2020.
But experts are unsure whether it will work. Shrinking means reduced revenue, potentially creating a vicious circle of declining income and profits. Mohamed El-Erian of the German insurer Allianz tweeted, “Big question that’s now on the table is whether DB can shrink itself to heightened competitiveness and sustainable profitability without a merger of some sort.”
Flash flooding in Washington, D.C. delivers a month’s worth of rain on the local area in the span of an hour. The torrential rain leaves commuters stranded on car rooftops, floods several metro stations and causes flooding in the White House. (CNET)
The U.S. women’s national soccer team’s day started with a parade through New York City’s Canyon of Heroes, included a flight to Los Angeles and then saw Alex Morgan and the USWNT shine as the big winners at The ESPYS on Wednesday at the Microsoft Theater in Los Angeles.
Morgan earned the ESPY for best female athlete, beating overall women’s World Cup Alpine skiing champion Mikaela Shiffrin, Breanna Stewart of the WNBA’s Seattle Storm and gymnast Simone Biles.
Three or five of Iran‘s IRGC Navy gunboats unsuccessfully attempt to seize control of British oil tanker British Heritage in the Persian Gulf, according to UK’s Ministry of Defense as well as two anonymous U.S. officials. The Royal Navy‘s HMS Montrose reportedly warns the boats to back away from the BP Shipping-owned tanker, which they do. The incident is allegedly captured on a U.S. aircraft’s camera. (CNN)
Seven people, including six foreign tourists, are killed and 100 others injured during a violent storm that swept across Thessaloniki, Greece. (BBC)
Law and crime
British right-wing activist Tommy Robinson is sentenced to nine months in prison for contempt of court — minus time served equals about another 10 weeks in prison. Supporters attacked police and journalists following the court proceedings. Police say no new arrests were made. (BBC)
The Venezuelan government arrests two members of disputed Interim President Juan Guaidó‘s personal security. The government claims that the pair were trying to sell weapons stolen from the national army and organising the failed coup attempt on 30 April. The opposition denies the weapons charges. (Reuters)
New York’s power is coming back after Manhattan spent hours in the dark
Power was starting to come back to parts of New York on a warm Saturday night as ConEdison restored electrical service on the west side of Manhattan after widespread power outages canceled shows and sent tens of thousands of people onto darkened streets, officials said.
There were 16,000 customers without power in Midtown Manhattan and the Upper West Side, utility company ConEdison said.
At its peak, the number was about 72,000, it said. The company estimated most customers will have power restored by midnight. As he spoke to reporters, the lights came on in buildings behind him and the crowd cheered loudly.
Just before the lights and air conditioners began to come back on, Gov. Andrew Cuomo said the numbers of customers without power had soared from 20,000 right after the blackout started because transformers kept tripping.
Three days of heavy rain in Nepal trigger floods and landslides resulting in at least 67 deaths. India was also affected by heavy floods, resulting in the death of 34 people, while 29 others died in Bangladesh. (BBC)
U.S. Vice PresidentMike Pence says the conditions under which asylum seekers are being held in facilities along the U.S. border with Mexico are unacceptable, after visiting two federal detention centers in Texas, remaining the highest-ranking member of the Trump administration to say so. He calls upon the U.S. Congress to act. (CNN)
Epic final tied, Super Over tied, England win World Cricket Cup on boundary count
New Zealand 241 for 8 (Nicholls 55, Woakes 3-37) tied with England 241 (Stokes 84*, Buttler 59, Neesham 3-43) Super overEngland 15 beat New Zealand 15 on boundaries scored
It was never going to be easy, was it? Two teams without a World Cup title between them in 44 years of the men’s competition. After 100 overs, the last couple of which contained almost as much drama as a few previous finals in their entirety, nothing could separate England and New Zealand. For the first time in World Cup history, a Super Over was required to determine the winner.
Asked to score 16 from six balls, Jimmy Neesham coolly struck Jofra Archer‘s second legitimate delivery way back into the Mound Stand, making the equation seven off four. A brace of twos followed, before Archer’s bumper took Neesham off strike. Martin Guptill, at the end of a tournament of personal trial, needing to hit two more otherwise England would take the trophy on boundaries scored. Archer found a yorker, Guptill found deep midwicket and Jason Roy’s throw found Guptill short; Jos Buttler completed the run-out at full stretch to end all those years of hurt and an afternoon of exquisite agony.