Credit Suisse shares sink ahead of bank's revamp

Shares in Credit Suisse plunged on Monday as fears mount over the financial health of the Swiss bank.

Its shares fell by about 10%, after the bank's boss failed to reassure investors.

Last week, chief executive Ulrich Koerner insisted in a memo to staff that Credit Suisse's financial position was solid.

It comes ahead of a restructuring plan due when the bank reports results at the end of October.

Sources close to the bank confirmed a report in the Financial Times that executives at the Swiss bank spent much of the weekend seeking to calm key stakeholders about its financial strength.

A Credit Suisse spokesperson refused to comment.

Reuters reported that in last week's memo Mr Koerner told staff: "I trust that you are not confusing our day-to-day stock price performance with the strong capital base and liquidity position of the bank.

"We are in the process of reshaping Credit Suisse for a long-term, sustainable future - with significant potential for value creation.

"I am confident we have what it takes to succeed."