HSBC stay silent on Deutsche Bank AG rumours

John Bond, chairman of HSBC Holdings has declined to comment on reports in the British press on Sunday that the bank is in merger talks with Deutsche Bank AG.

Deutsche Bank is one of the world's largest banks with two primary divisions - corporate and investment banking and private clients and asset management.

Although Deutsche Bank offers retail services primarily in Germany, it operates its investment banking and asset management businesses across Europe with additional markets in Asia, the Pacific Rim, and the Americas.

"We do not comment on market rumours," Bond told reporters at a press conference after the group announced its annual results.

A spokesperson for the banking group had already declined to comment on the merger report yesterday.

According to the report senior executives from Deutsche Bank's Frankfurt headquarters have met in London with high-level talks with the world's second-largest bank about a tie-up.

HSBC, the world's second-largest bank, earlier posted the highest set of full-year results ever reported by a British bank and said profit growth last year was largely underpinned by its acquisition of Household, a US consumer lending firm, and of Mexican Bital, as well as a recovery in its core Hong-Kong market.

Pre-tax profit was up 33% at $12.816bn (€10.272bn) in 2003.