Deutsche Bank to Get New CEO for Americas -- WSJ
August 16 2017 - 2:03AM
Dow Jones News
By Jenny Strasburg
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (August 16, 2017).
Deutsche Bank AG named its third Americas chief executive in
less than 18 months, promoting the head of its global equities
business, Tom Patrick, to the prominent New York-based role,
according to an internal memo sent to employees Tuesday.
Mr. Patrick replaces Bill Woodley, who's leaving the German
lender, according to the memo, signed by Chief Executive Officer
John Cryan. The contents were confirmed by a spokeswoman.
In his new Americas role, Mr. Patrick will report to Mr. Cryan.
Mr. Patrick will continue as global equities chief and co-head of
the U.S. corporate and investment bank under Garth Ritchie,
London-based co-head of the investment bank globally.
As Americas CEO, Mr. Patrick takes on complex legal, political
and regulatory matters in a crucial market for the German bank. It
is trying to reinvigorate its trading and investment-banking
businesses under tighter controls by U.S. bank watchdogs, and faces
a bright spotlight over its loans tied to President Donald
Trump.
The churn in executives overseeing Deutsche Bank's sprawling
U.S. business started in May 2016. That is when the bank said
longtime banker Jacques Brand was leaving after a career at the
bank that started before it bought U.S. lender Bankers Trust in
1999. Mr. Brand left to join boutique investment bank PJT Partners
Inc.
In July 2016, Mr. Woodley was named Americas CEO, which put him
in charge of Deutsche Bank's newly formed U.S. holding company,
subject to stricter oversight by the Federal Reserve. Mr. Woodley
reported to Jeff Urwin, who at the time ran the global investment
bank. Last summer, Mr. Urwin took on expanded duties as the
management-board member overseeing U.S. operations. He left
Deutsche Bank less than a year later.
Mr. Cryan in Tuesday's memo called Mr. Woodley's 19-year
Deutsche Bank career "long and successful." The memo didn't specify
Mr. Woodley's plans, and he couldn't be reached for comment. Mr.
Cryan this year has been spending more time in the U.S., including
on client trips, than he did initially after being named CEO in
mid-2015, according to people familiar with the matter.
Mr. Patrick joined Deutsche Bank in 2012 after 18 years at Bank
of America Merrill Lynch. At Deutsche Bank, the equities business
he oversees has struggled for months from a loss of clients and
lagging revenue, which the bank has blamed in part on turmoil over
concerns last year about the bank's capital cushion and mounting
legal fines.
The capital concerns have abated, but the bank's efforts to win
back stock-trading clients have produced disappointing results so
far.
Deutsche Bank faces an unresolved U.S. Justice Department
investigation into billions of dollars in Russian stock trades.
Democratic U.S. lawmakers repeatedly have demanded, unsuccessfully,
that Deutsche Bank hand over details of its more than $300 million
in loans to entities affiliated with Mr. Trump and provide details
about the bank's Russia business, any potential ties to Mr. Trump
and related internal probes.
Deutsche Bank has rebuffed the lawmakers' requests, saying it
seeks to cooperate with formal congressional or regulatory
inquiries, but that bank-confidentiality rules prohibit it from
revealing details about its clients or business outside of formal
inquiries.
At the same time, U.S. investigators are looking for possible
ties between Russian financial institutions, Mr. Trump and anyone
affiliated with him. Mr. Trump has repeatedly denied any collusion
between his campaign and Russia. Russia has denied interfering in
the 2016 elections.
Write to Jenny Strasburg at jenny.strasburg@wsj.com
(END) Dow Jones Newswires
August 16, 2017 02:48 ET (06:48 GMT)
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