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

GENEVA (AP) — Swiss banking giant UBS has announced plans to save $10 billion in costs, including through 3,000 staff reductions in Switzerland as it moves ahead with “full integration” of longtime rival Credit Suisse’s domestic operations following a takeover. The announcement on Thursday came as the Zurich-based bank reported a whopping $29 billion in net and pre-tax profit in the second quarter, its first earnings report since the government-orchestrated merger to help stave off a possible global financial meltdown. Underlying profit before taxes came in at $1.1 billion, which excludes some $29 billion in negative goodwill and other impacts of the takeover.