Summary Box: Morgan Stanley on Europe, layoffs

AP News
Posted: Apr 19, 2012 2:05 PM
Summary Box: Morgan Stanley on Europe, layoffs

BY THE NUMBERS: Excluding an accounting charge, Morgan Stanley increased first-quarter revenue and profit. Including the charge, revenue fell and the bank had a loss. Investors focused on the former numbers, sending the stock up throughout the day.

LAYOFFS LINGER ON: Like most of the banking industry, Morgan Stanley is cutting jobs and other expenses to deal with unsteady returns. It cut nearly 3,000 jobs, or about 5 percent of its workforce, over the year.

EUROPE ON THE FRONT BURNER: In an interview, chief financial officer Ruth Porat said the European Central Bank's decision in December to extend emergency loans to banks had been a "game changer" that at least temporarily calmed fears about Europe. But, she added, "It gave them time ... It didn't solve the problem. The euro zone remains fragile."