(MarketWatch) -- UBS shares fell as much as 9% Wednesday after the struggling Swiss bank said it expects to post a loss of nearly 2 billion Swiss francs ($1.8 billion) for the first three months of 2009 and added that nearly 9,000 more staff will lose their jobs.
The group said it will reduce its workforce to around 67,500 in 2010, from the current 76,200, which will help it slash costs by between 3.5 billion francs and 4 billion francs. Roughly 2,500 of the cuts will be in Switzerland.
In a statement UBS's newly appointed chief executive, Oswald Gruebel, also said that despite positive early signs, clients continued to withdraw their cash in the quarter.
Gruebel, a former head of arch-rival Credit Suisse, was hired in January to try and turn around the bank, but he told shareholders at the annual meeting Wednesday that there will be no quick fix.
Investors weighed the worse-than-expected quarterly loss against the group's deep cost-cutting plans, pushing the stock down around 9% in early trading before it recovered to trade down 3.2%.
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