Chicago’s Sad Gray Lady Northern Trust Corp., which has faced persistent questions about whether it needs to be more aggressive about cutting costs, looked a little madder than sad when it told analysts Wednesday that it has started "exploratory initiatives" that could lead to a restructuring. The Chicago-based financial services firm said it expects to reveal more details, including goals on its productivity efforts, by year end.
The disclosure came as Northern, Chicago's biggest locally headquartered bank, announced a drop in second-quarter profits, partly due to restructuring, acquisition and integration expenses. In the second quarter, Northern completed its acquisition of the fund administration business of Bank of Ireland, and plans to cut about 200 jobs in Europe because some of its operations now overlap.
State Street Corp., a Northern rival, announced Tuesday that it was cutting more than 800 additional jobs. During its last earnings round, Northern Trust said it was working to slow the rate of growth of expenses, including compensation….
Read more at http://www.chicagotribune.com/business/breaking/chi-northern-trust-reports-decline-in-2q-profits-20110720,0,3717754.story
No comments:
Post a Comment