UBS reports huge 2Q profit skewed by Credit Suisse takeover, foresees $10B in cost cuts

By JAMEY KEATEN
Associated Press

GENEVA (AP) — Swiss bank UBS announced plans to save $10 billion in costs as it moves ahead with “full integration” of longtime rival Credit Suisse’s domestic operations, releasing its first earnings report since the government-orchestrated merger to help stave off a possible global financial meltdown. The announcement came as the Zurich-based bank reported a whopping $29 billion in pre-tax profit during the second quarter. But underlying profit before taxes came in at $1.1 billion, which excludes some $29 billion in negative goodwill, integration costs and other impacts of the Credit Suisse takeover.