Continuing its reorganizational effort, Swiss financial services group UBS has announced two new additions to its executive level, both of whom will serve as co-CEO for the company’s investment banking arm. The move comes in the midst of a broader reshuffling at UBS designed to bring the ailing financial firm back to profitability after a rough 2008.
The two new co-heads of the investment banking business are Alex Wilmot-Sitwell and Carsten Kengeter, who will replace exiting CEO Jerker Johansson. Both Wilmot-Sitwell and Kengeter were promoted from within UBS’s existing structure.
UBS lost $18 billion last year and has written down almost $40 billion to date in losses related to subprime mortgage obligations. Some have speculated that the company’s investment banking arm may be put up for sale as a result of the losses, though UBS has denied this possibility.
UBS posted 2009 Q1 losses of $1.75 billion.
Last week, the Swiss financial services firm announced the sale of its Brazilian arm, UBS Pactual, for $2.5 billion. The company also said it will cut 8,700 jobs at its annual general meeting on April 14. UBS has cut 11,000 jobs since mid-2007.