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Four new members will be appointed to the board in order to bring greater financial and management expertise and the chief financial officer will be replaced. In addition, more autonomy will be given to the different units of the bank: private banking, investment banking and asset management. The bank will continue its programme to reduce personnel levels and costs.



UBS, the biggest European casualty of the sub-prime crisis, has been under pressure from investors to break up. Adding to these problems, the bank is under investigation by US authorities for allegedly helping clients evade taxes.



In Switzerland, regulators are pushing for the adoption of rules that would limit how much money domestic banks can borrow in a bid to limit the risk to taxpayers. This could force the bank to reduce its investment banking operations.



Total losses for UBS as a result fo the sub-prime meltdown have reached about $43bn and have cost the seat of its CEO, Marcel Ospel. The bank does not expect an improvement in the adverse economic and financial market in the second half of the year.