Executives slated to quit Commerzbank

Commerzbank, the German lender that plans to cut 5,200 jobs by 2016, said two executives will leave its management board as part of the reductions.

Jochen Kloesges, 49, and Ulrich Sieber, 47, who oversee a unit that is winding down assets to boost the bank’s capital levels, will step down on Dec 31, Frankfurt-based Commerzbank said yesterday. Their departure will shrink the board to seven members.

Commerzbank is eliminating staff to lift profit as soured shipping and commercial real estate loans in the unit managed by the two board members eclipse earnings from corporate and retail banking.

Martin Blessing, the company’s 50-year-old CEO, said in August that senior management would be included in the headcount reduction.

Mr Kloesges, who requested for his mandate on the board to be terminated at the end of the year, will join ER Capital Holding as chief operating officer in April before becoming CEO of the Hamburg-based shipping company in July, Commerzbank said.

ER Capital, founded by entrepreneur Erck Rickmers, said Mr Kloesges will have a contract of at least five years and replace Nicholas Teller, 54, as CEO, according to a statement published on the company’s website.

Mr Sieber’s mandate will also conclude at the end of the year, Commerzbank said, without providing information on his plans. The two men’s responsibilities will be split between their colleagues on the board, according to the statement.

Bloomberg