Macquarie Bank cuts bonus pool to bolster profit, but result better than expected
20th Nov 08, 8:00am
Macquarie Bank reported a 43% fall in interim profit to A$603 million yesterday, its first profit fall in 17 years, after writing off A$1.14 billion from asset values and taking bad debt charges of A$395 million. However, unlike other big investment banks, Macquarie was still in profit. It is now looking to sell A$15 billion of assets to bolster its capital. The so-called millionaires factory also reduced its bonus pool from A$2.4 billion to A$1.3 billion. The result was slightly better than expectations and Macquarie's shares rallied 16.5% to A$24 a share. * This article was first published yesterday in our daily subscription newsletter for the banking and finance industries. The email costs NZ$365 per annum and carries exclusive news and analysis for New Zealand banking and finance industry executives, regulators and investors. Sign up for a free trial here.