FINMA appeals decision on Credit Suisse AT1 bonds

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FINMA appeals decision on Credit Suisse AT1 bonds

The Swiss Financial Market Supervisory Authority (FINMA) does not intend to accept the decision of the Federal Administrative Court to write off Credit Suisse’s AT1 bonds. It is now appealing the decision to the Federal Supreme Court, as the authority announced on Wednesday. + Get the most important news from Switzerland in your inbox In a partial ruling on Tuesday, the Federal Administrative Court (FAC) overturned the FINMA ruling of March 2023, according to which the so-called Additional Tier 1 bonds of the ailing Credit Suisse worth a good CHF16 billion ($20 billion) had to be written down to zero. However, FINMA emphasised in its press release that the court had not yet commented on the consequences of this annulment. FINMA based its ruling on the government’s emergency ordinance, among other things. The write-off was part of an overall package to stabilise Credit Suisse through a merger with UBS, FINMA stated in the press release. Around 3,000 complainants had contested the …

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