On September 3, 2012 Japanese financial company Nomura Holdings said that it would cut $1 billion in costs as part of bid to repair its balance sheet. The recent moves has been taken as the biggest brokerage of Japan recovers from an embarrassing insider trading scandal.
The firm has also said that its plans to usher in the cuts by March 2014 while chopping off the expenses from its whole sale division including the investment banking , equities and fixed income businesses. In the month of July Nomura said that its first quarter profit to June shrank to almost 90% due to the weakness in the retail and the whole sale trading business.
Nomura like many other investment banks has struggled with yo-yoing stock and bond prices tightening regulation and poor merging prospects in the wake of the global financial crisis. A meeting was held with about 450 managers in Tokyo on August 31, 2012 to outline the plan which is to be presented to the shareholders this week.
The company has said that the job cuts were a part of the planned reductions but did not comment elaborately on the development. According to the Japanese media the bulk of the cuts would come from slashing jobs in the money losing European business acquired from Lehman Brothers in the year 2008.