Credit Suisse will pay $536 million to settle a US investigation

Credit Suisse said it expects to pay a hefty $536 million to settle a US probe.

The investigation is into payments made between 2002 and 2007 involving countries and entities that face US economic sanctions and such a settlement would be a second heavy payment made by a Swiss bank to US authorities this year. 

Credit Suisse said the expected settlement would likely result in a 445 million Swiss franc ($429 million) charge this quarter, or about 360 million francs after tax.

"That is not a small amount and could well be the reason why Credit Suisse shares have performed worse in comparison with UBS," one trader said.

Credit Suisse were little-changed in early trading.

Rival UBS agreed in February to pay $780 million to avoid criminal charges in a separate and unrelated tax fraud case.

Source: cnbc