Deutsche Bank posts €3.9bn loss

Deutsche Bank today reported a hefty net loss for the fourth quarter and for the whole of 2008, citing “unprecedented” operating conditions and “weaknesses in our business model”.

Frankfurt-based Deutsche Bank, Germany’s largest bank, said the fourth-quarter net loss amounted to €4.8bn, compared with a net profit of €1bn in the fourth quarter of 2007.

Net loss for the whole of 2008 amounted to €3.9bn.

Revenue also tipped into the red in the fourth quarter, coming in at a negative €885m – compared with €7.3bn a year earlier.

“We are very disappointed at our fourth quarter result, and the consequent full-year net loss,” Josef Ackermann, the bank’s chief executive, said in a statement.

“Looking forward, we see continuing very difficult conditions for the global economy, posing significant challenges for our clients and for our industry.”

The net loss figures were in line with a preliminary estimate issued by the bank in mid-January.