UBS AG has negotiated a deal to keep the veteran financial services analyst Glenn Schorr, two months after he announced his resignation to join Deutsche Bank AG, people familiar with the matter said.

Schorr was slated to join Deutsche Bank to succeed Michael Mayo, the bearish bank analyst who left to join the boutique firm CLSA Asia-Pacific Markets.

UBS has been cutting jobs as it struggles with writedowns related to the financial crisis. Schorr focuses on brokerage firms and asset managers.

Schorr's retention was announced in a memo sent to UBS staff members Tuesday afternoon. He is expected to follow many of the same stocks he followed before, including Morgan Stanley and Goldman Sachs Group Inc.

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