A nnual R eport D ecember 31, 2009 D reyfus S ons & C o B ...

policy, interest rates for good debtors such as the Swiss
National Bank fell to virtually zero. Thus the income
earned on these funds fell by 28.5% to CHF 18.5 mio.,
in spite of the large increase in volume. Moreover, the
investment of the high liquidity led to an additional
lump-sum provision amounting to CHF 1.5 mio.
As the value of our clients’ assets, on average were
valued significantly lower than the previous year, the
income from commission business fell by 17.5% to
CHF 94.3 mio. Furthermore the change in the tax-law
situation in many countries led to a net outflow of
assets, despite substantial new inflows – a trend that
has, however, been observable for a number of years.
Work has been in progress for some time on strategic
options in this regard.
Operating expenditure was reduced by 6.0% to
CHF 74.1 mio. But the cost-income ratio – the ratio of
administrative expenses to net income – of barely 60%
compares well with that of our competitors. Thus even
after such a difficult year, we are able to report a profit
of the year of CHF 35.3 mio.
The Board of Directors has appointed Mr. Richard
Mayr a member of the Executive Management effective
January 1, 2010 and also expresses the hope that the
management will continue its traditional cooperative
and successful work. It is convinced that this will enable
the Bank to rise to the numerous challenges of the next
few years. It wishes to thank the employees at all levels
for the services they have performed extremely conscientiously,
competently and loyally and in such a pleasant
atmosphere.
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