Banking giant UBS is acquiring smaller rival Credit Suisse

Swiss president Alain Berset, who did not specify a value of the deal, called the announcement "one of great breadth for the stability of international finance. An uncontrolled collapse of Credit Suisse would lead to incalculable consequences for the country and the international financial system."

The 167-year-old Credit Suisse already received a $50 billion loan from the Swiss National Bank, which briefly caused a rally in the bank's stock price. Yet the move did not appear to be enough to stem an outflow of deposits, according to news reports. On Friday, shares dropped 8% to close at 1.86 francs on the Swiss exchange. The stock has seen a long downward slide: It traded at more than 80 francs in 2007.

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So UBS gets $100B from the central bank to buy Credit Suisse? Move along folks, nothing to see here. The banking system is just fine.

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UBS offers to buy crisis-stricken Credit Suisse for up to US$1-billion, reports sayA deal could be announced Sunday evening, as regulators seek an agreement before markets open in a bid to avert another selloff Is this deal not contingent on the Swiss Government taking on all of the billions in liabilities and lawsuit liabilities owned by Credit Suisse? And was not UBS being forced to take this on?
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