Swiss bank UBS announces massive layoff of 10,000

GENEVA (AP) - Swiss banking giant UBS AG has announced massive layoffs of 10,000 employees to drastically shrink its ailing investment bank.

Switzerland's biggest bank says it is "likely to have a headcount of around 54,000" by 2015, down from its current 64,000 employees in 57 countries.

Chief executive Sergio Ermotti announced the plans on Tuesday as part of the Zurich-based bank's third-quarter results. Mr Ermotti said the investment unit, which has been hit by a series of costly blunders in recent years, will "continue to be significant global player in its core businesses."

Ahead of the cuts, the value of UBS's stock rose 7.3 per cent to close at 13.12 Swiss francs on Monday on the Zurich exchange,