HSBC CFO Sees Difficult Second Quarter in Europe, U.S.

The transcript discusses the impact of COVID-19 on credit losses, with estimates ranging from $7 to $11 billion. It highlights the uncertainty surrounding these figures and the economic recovery in China and Hong Kong. The suspension of dividends and cost-cutting measures are also addressed, along with the transformation plan and cost management strategies. The focus is on navigating the economic challenges posed by the pandemic and planning for recovery.

What is the estimated range for credit losses in 2020?

• $5 to $9 billion

• $10 to $15 billion

• $7 to $11 billion

• $3 to $5 billion

Which regions are expected to face a difficult second quarter due to the coronavirus?

• Australia and New Zealand

• China and Hong Kong

• Europe and the US

• Africa and South America

What significant financial event occurred in Singapore related to HSBC?

• A $1 billion investment in technology

• A major real estate acquisition

• A $600 million loan to a failed oil trader

• A merger with a local bank

Why were dividends suspended for the first three quarters of the year?

• To fund new projects

• To comply with international standards

• To increase shareholder value

• Due to a regulatory push

What is the expected outcome for costs this year according to the restructuring plan?

• Costs will increase by 5%

• Costs will remain flat

• Costs will decrease

• Costs will double

What measures are being taken to control costs?

• Increasing travel and entertainment expenses

• Expanding external recruiting

• Hiring more staff

• Reducing variable cost line items

What is the anticipated impact on revenues this year?

• Revenues will increase

• Revenues will double

• Revenues will decrease

• Revenues will remain the same