Germany's biggest public sector bank Landesbank Baden-Württemberg announced a restructuring plan involving the loss of 2,500 jobs throughout the EU. The plan is expected to save the bank EUR 700m per year. There is no information on exactly where the redundancies will take place.
LBBW will close its activities in the real estate business in 15 out of 18 countries. Operations will continue only in Germany, Great Britain and France. Moreover, the bank will discontinue activities in the airline and in the shipping business. A considerable number of outlets in other European countries shall be shut down.
The restructuring plan involves the reduction of non-strategic activities, the divestment of equity investments and a reduction of total assets by 40%.