First Republic Bank to slash up to a quarter of its workforce | CNN Business

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First Republic Bank expects to cut its workforce by 20-25%, the embattled lender said late Monday

The layoff announcement comes as First Republic reported first-quarter earnings, just weeks after a consortium of banks stepped in with $30 billion to prevent the regional lender from failing. The bank reported earnings per share of $1.23, coming in higher than analysts’ expectations of $0.85 per share, according to Refinitiv data. San Francisco-based First Republic reported that year-over-year revenues were down 13.4%.

” Those actions include efforts to increase insured deposits. When the banking crisis erupted, about two-thirds of First Republic’s deposits were uninsured with the Federal Deposit Insurance Corporation. That’s lower than the 94% at Silicon Valley Bank — but at the end of last year, First Republic had an exceptionally high ratio of 111% for loans and long-term investments to deposits, according to S&P Global — meaning it has loaned and invested more money than it has in deposits.

 

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