Deutsche Bank says reviewing litigation reserves: report

Germany’s largest lender Deutsche Bank (DBK.DE) has signaled it might have to set aside more money for potential future litigation costs, following its $1.9 billion settlement with a U.S. mortgage market regulator. In an interview with German newspaper Sueddeutsche Zeitung published on Saturday, co-CEO Juergen Fitschen said Deutsche’s reserves to deal with anticipated legal difficulties, worth 4.1 billion euros ($5.6 billion) as of September 30, should not be seen as a definitive final amount. Deutsche Bank said on Friday it would pay $1.9 billion to settle Federal Housing Finance Agency claims that it defrauded two U.S. government-controlled companies in the sale of mortgage-backed securities before the 2008 financial crisis. The bank said the payment had already been taken into account in its litigation reserves and no additional reserves would be taken for the settlement.


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