LONDON - Standard Chartered PLC, a British bank with almost 70% of its assets in Asia, will cut 6,000 jobs, about one-fifth of its workforce, to drive down expenses.
The bank's first-half profit rose a weaker-than-expected 25%. Shares fell as much as 11%.
Standard Chartered will pay $715 million during the next three years to eliminate staff and move transaction-processing centers to cheaper locations. The cuts are expected to result in a cost reduction of $104 million next year and $245 million annually from 2003, the bank said.
Analysts were disappointed that earnings did not exceed expectations two days after HSBC reported a greater-than-forecast profit, and said the bank was paying too much to restructure.