Commerzbank Aktiengesellschaft (CZB) 
Commerzbank expects to fully write off existing goodwill of around 
&euro1.5bn and a negative risk result of at least &euro1.7bn 
 
08-Jan-2021 / 11:50 CET/CEST 
Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
*- Goodwill write-off has no effect on regulatory capital * 
 
*- Manfred Knof: 'After this balance sheet clean-up, we are well prepared 
for the road ahead of us. Our goal is to make the bank more profitable in 
the long-term'* 
 
*- Bettina Orlopp: 'By increasing our risk result we are responding to the 
ongoing Corona pandemic and feel well prepared for further developments this 
year'* 
 
Commerzbank expects the existing goodwill of around &euro1,5 billion to be 
fully written-off due to among others deteriorating market parameters, in 
particular the level of interest rates in the euro area and in Poland. The 
changed market parameters that led to the goodwill write-off will also have 
a negative impact on the valuation of the deferred tax assets. 
 
The required write-off of goodwill has no impact on the capital ratio, which 
the Bank continues to expect at around 13% at the end of 2020. 
 
Manfred Knof, CEO of Commerzbank, stated: 'After this balance sheet 
clean-up, we are well prepared for the road ahead of us. Our goal is to make 
the bank more profitable in the long term.' 
 
For the financial year 2020, the bank also expects a risk result of at least 
minus &euro1.7 billion. This already includes a top-level adjustment of 
around &euro500 million for expected Corona-related effects in 2021. With 
the higher risk result the bank also anticipates the currently expected 
impact of the second lockdown. 
 
'By increasing our risk result we are responding to the ongoing Corona 
pandemic and feel well prepared for further developments this year,' said 
Bettina Orlopp. 
 
***** 
 
*Press contact* 
 
Erik Nebel +49 69 136-44986 
Sascha Ullrich +49 69 136-82349 
 
***** 
 
*About Commerzbank* 
Commerzbank is a leading international commercial bank with branches and 
offices in nearly 50 countries. The Bank's two business segments - Private 
and Small-Business Customers and Corporate Clients - offer a comprehensive 
portfolio of financial services precisely tailored to their customers' 
needs. Commerzbank transacts approximately 30% of Germany's foreign trade 
and is the market leader in German corporate banking. The Bank offers its 
sector expertise to its corporate clients in Germany and abroad and is a 
leading provider of capital market products. Its subsidiary mBank in Poland 
is an innovative digital bank. The integration of Comdirect enables 
Commerzbank to combine the services of one of Germany's most advanced online 
banks with a personal advisory offering at local level.The Bank serves 
around 11.6 million private and small-business customers nationwide and over 
70,000 corporate clients, multinationals, financial service providers, and 
institutional clients worldwide. Its Polish subsidiary mBank S.A. has around 
5.7 million private and corporate customers, predominantly in Poland, but 
also in the Czech Republic and Slovakia. In 2019, Commerzbank generated 
gross revenues of &euro8.6 billion with approximately 48,500 employees. 
***** 
*Disclaimer* 
This release contains forward-looking statements. Forward-looking statements 
are statements that are not historical facts. In this release, these 
statements concern inter alia the expected future business of Commerzbank, 
efficiency gains and expected synergies, expected growth prospects and other 
opportunities for an increase in value of Commerzbank as well as expected 
future financial results, restructuring costs and other financial 
developments and information. These forward-looking statements are based on 
the management's current plans, expectations, estimates and projections. 
They are subject to a number of assumptions and involve known and unknown 
risks, uncertainties and other factors that may cause actual results and 
developments to differ materially from any future results and developments 
expressed or implied by such forward-looking statements. Such factors 
include the conditions in the financial markets in Germany, in Europe, in 
the USA and other regions from which Commerzbank derives a substantial 
portion of its revenues and in which Commerzbank holds a substantial portion 
of its assets, the development of asset prices and market volatility, 
especially due to the ongoing European debt crisis, potential defaults of 
borrowers or trading counterparties, the implementation of its strategic 
initiatives to improve its business model, the reliability of its risk 
management policies, procedures and methods, risks arising as a result of 
regulatory change and other risks. Forward-looking statements therefore 
speak only as of the date they are made. Commerzbank has no obligation to 
update or release any revisions to the forward-looking statements contained 
in this release to reflect events or circumstances after the date of this 
release. 
 
ISIN:          DE000CBK1001 
Category Code: MSCU 
TIDM:          CZB 
LEI Code:      851WYGNLUQLFZBSYGB56 
Sequence No.:  91083 
EQS News ID:   1159320 
 
End of Announcement EQS News Service 
 
 

(END) Dow Jones Newswires

January 08, 2021 05:50 ET (10:50 GMT)