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It's eight o'clock on Friday morning and Manfred Knof is standing in the conference room on the 47th floor of the Commerzbank tower block.
We are connected via video.
He asks us if he can "make himself a little cozy" and then takes off his jacket.
Hard days are behind him.
On Thursday he presented his detailed plans for the institute to journalists and investors.
The stock market was - measured by the price - not enthusiastic.
WORLD:
Mr. Knof, your renovation program will run until 2024. After that, the bank should be tidied up.
Will it then be sold?
Manfred Knof:
I want to ensure the independence of this bank.
This is my mission.
The employees who have not had an easy time behind them deserve this.
This is what companies want that need a reliable partner at their side and trust us so much.
Germany’s economy needs Commerzbank.
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WELT:
You previously managed Deutsche Bank's private customer business.
There are rumors that you could force another merger with Deutsche Bank in a few years.
Knof:
I am very grateful and humble to work for such a traditional bank as Commerzbank.
I am very happy about my new role and will do everything I can to ensure that this institute remains independent.
The employees want to be proud of working for this bank again.
WORLD:
Bad tongues claim that Paul Achleitner, Chairman of the Supervisory Board of Deutsche Bank, sent you to Commerzbank to prepare the institute for a merger.
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Knof:
They are very nasty tongues.
And that's total nonsense.
WORLD:
You are cutting jobs and closing branches, at the same time you expect falling income this year.
This is not a future program.
How is Commerzbank supposed to survive so independently?
Knof:
With this strategy we are securing the future of this bank.
That is only possible if it is sustainably profitable.
In the private customer business, we are becoming much more digital.
And in the corporate customer business, we concentrate primarily on German medium-sized companies.
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WORLD:
The stock exchange sees it differently.
After the details of your strategy were presented on Thursday, the share price fell significantly.
Knof:
That's not true.
When we announced the key data of our strategy for the first time, the share rose significantly.
But we also presented the annual figures for 2020, and they are negative for the first time in many years.
The strategy is now in place.
Words must now be followed by deeds.
That's what I stand for.
WORLD:
Other CEOs who are new to this role take 100 days before announcing a new strategy.
Without waiting, they took brutal measures.
Is Commerzbank in such a bad way?
Knof:
Speed is absolutely necessary - the figures show that.
We made a loss of almost three billion euros last year.
Employees also expect us to act quickly.
Everyone finally wants clarity about where the journey is going.
We have no more time to waste.
WELT:
That certainly does not apply to employees who will lose their jobs.
Knof:
Everyone wants clarity.
We will offer fair and socially acceptable solutions to employees who leave us.
The situation is not easy, but I can also feel the spirit of optimism.
We are now working flat out to transform the bank.
WORLD:
Compulsory layoffs are also an option, so that the downsizing can proceed quickly enough?
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Knof:
I cannot rule out redundancies for operational reasons.
But we will do everything we can to prevent it from happening.
WORLD:
You close almost every second branch.
Personal advice should only be given to wealthy customers.
The bulk business is to be handled almost exclusively digitally.
How many customers will you lose to this inequality?
Knof:
As few as possible, I hope.
We will fight for every customer.
The Corona crisis has shown that more and more customers prefer to do their banking from home.
And if a customer - whether wealthy or not - wants a personal conversation, then we are still available.
But of course we don't need that many branches for that.
WORLD:
What else does a Commerzbank offer that a normal direct bank like ING or DKB has not been able to do for a long time?
Knof:
We offer personal advice on complex investment decisions.
In addition, unlike direct banks, we offer our customers a very extensive and varied range of financial products.
With us you can reach a personal advisor at any time.
WELT:
Even with Comdirect customers, who are considered to be particularly price-sensitive, there should be more fees in the future.
What are you planning specifically?
Knof:
I can't comment on the details yet.
One thing is certain, however: There will still be a free current account - although this will be subject to conditions.
WORLD:
Many customers will then turn their backs on you.
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Knof:
I hope not.
Again: We fight for every customer.
Comdirect customers will also see that they benefit from our new strategy.
WORLD:
In corporate banking, you want to part with customers with whom you do not earn any money in order to free up equity.
How many relationships does that hit?
Knof:
We want to grow in German medium-sized companies and with German customers abroad.
However, we will close 15 foreign locations.
And part with customers there who have no connection to Germany or who are not at home in one of our future industries.
WELT:
We did the math: With the data mentioned, experts come to around two million customers.
Knof:
That is very speculative.
We are still in the middle of the process.
WELT:
Your medium-sized business would be particularly hard hit if the economic situation in Germany continued to deteriorate due to the corona pandemic and large numbers of loans were to fail.
Can you still sleep soundly?
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Knof:
Don't worry about my sleep.
But seriously: the past year has shown how well the cooperation between the banking industry and the state works.
We were able to supply medium-sized German companies with liquidity during the corona pandemic.
Of course, the crisis will not leave the German economy unaffected.
But we have taken adequate precautions.
I am confident that the economy will develop positively again after the crisis has ended.
WORLD:
How long will we remain in crisis mode?
Knof:
I don't have a crystal ball.
But I trust the situation will ease as soon as it gets warm outside.
However, we have to be further disciplined and comply with the contact restrictions as well as the hygiene and distance rules.
WORLD:
The major shareholders were very dissatisfied with the previous management of the bank.
How closely are you in contact with your largest shareholder, the federal government?
Knof:
I talked a lot with the employees over the past week.
Next week I'll go over my program for the bank with investors.
Rest assured, we treat all investors equally.
WORLD:
Recently it was said that the state is interfering with you.
The management consultancy he commissioned, Boston Consulting (BCG), is still involved with you.
Knof:
BCG worked for the supervisory board, so you would have to contact the supervisory board.
WORLD:
How did it come across in Berlin that Commerzbank was saved with taxpayer money, but now every third job is going to be lost?
Knof:
I cannot speak for the federal government, but I interpret the public statements of the federal finance minister as support for our strategy.
It is painful, but unfortunately necessary.
WORLD:
At the same time, you promise high dividends.
Were finance ministers Olaf Scholz and Jörg Kukies perhaps even the fathers of this idea?
The state needs money.
Knof:
The board of directors developed this strategy under my leadership.
No one else.
WORLD:
Do you actually pay bonuses in this situation?
Knof:
No, the supervisory board has determined that the management board will not receive any bonuses for the past financial year.
I think that's appropriate in this situation.
WORLD:
What about the other executives?
Knof:
That depends on the performance of the respective area, but in total we have also reduced the variable remuneration by more than 50 percent to less than 100 million euros in the entire group.
WORLD:
Before you switched to Commerzbank, you were at Deutsche Bank.
There Christian Sewing stabilized the institute again through iron saving.
Is Deutsche Bank a role model for you?
Knof:
I'm only talking about Commerzbank here.
One thing is clear: at Commerzbank, costs have to drop drastically.
But that's not enough.
It is also about focusing the business: it should become significantly more digital and profitable.
This text is from WELT AM SONNTAG. We are happy to deliver them to your home on a regular basis.
Source: WORLD