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Cheuvreux to cut hundreds of jobs after sale -sources

Monday, 1 Oct 2012 | 1:11 PM ET

PARIS, Oct 1 (Reuters) - French brokerage Cheuvreux is likely to cut hundreds of jobs as part of Credit Agricole's

sale of the unit to rival Kepler, according to two sources familiar with the matter, the latest in a wave of job cuts to hit equity trading firms.

Credit Agricole said in July it was in exclusive talks to sell Cheuvreux, which employs about 700 people worldwide, to independent financial services group Kepler Capital Markets.

"We've been given pretty strong signals that around 350 to 380 jobs are to be cut at Cheuvreux," a union source told Reuters. "We've met with Credit Agricole CIB, they are indicating that this will be the scale of cuts that will hit staff."

Meanwhile, another source familiar with the matter said there would be 290 job cuts in France, or 80 percent of headcount, without giving more information on worldwide cuts.

French daily Les Echos had earlier reported the 290 figure.

Several major European banks have slashed their investment banks amid weak trading activity, including Italian group UniCredit, with which Kepler also has a partnership.

One former senior employee of Cheuvreux said he had recently left in part because of worries about job cuts and said he expected "mass layoffs" at the brokerage.

"Kepler and Cheuvreux are almost identical in terms of offices across Europe," he said, speaking on condition of anonymity, adding that was true with the exception of Sweden.

"I would expect that at best two-thirds of Cheuvreux employees will be offloaded."

(Reporting by Lionel Laurent, Christian Plumb and Astrid Wendlandt; Editing by Mark Potter)

((christian.plumb@thomsonreuters.com)(33 1 4949 5130)(Reuters Messaging: christian.plumb.thomsonreuters.com@reuters.net))

Keywords: CREDITAGRICOLE CHEUVREUX/