What's going on?

Credit Suisse warned investors on Wednesday that it�s bracing for another dizzying loss this quarter.

What does this mean?

Credit Suisse was probably hoping to hold onto customers while its �strategic overhaul� gets underway, but bold blueprints alone don�t earn anyone much goodwill. So it�s a kick in the Swiss lender’s teeth that massive withdrawals by its wealthiest customers are set to see it chalk up a $1.6 billion loss this quarter. And given that blow follows a $4 billion hole the quarter before, it�s no wonder Credit Suisse is on a campaign to change things: the bank�s now hoping to drum up cash from new and existing shareholders, and is lining up a whole 9,000 jobs on the chopping block.

Why should I care?

For markets: Running from the bank.
Most of us don�t pine after our Bank of America or HSBC bank clerks, so switching to another lender is normally a pretty painless affair. But that�s not the case when it comes to private banking at the likes of Credit Suisse. It might take a lot of schmoozing to win prize punters, sure, but once you�ve hooked them, they rarely jump ship. That�s why it�s so alarming that 10% of the bank’s �stickiest� clients’ cash has flown out the door this year, rivaling the hasty withdrawals made during 2008�s financial crisis. Credit Suisse has a textbook crisis of confidence on its hands, then, and needs to restore trust pronto.

The bigger picture: Not life or death� yet.
Regulators make banks keep a certain amount of cash in their coffers so they can cope with losses when times get tough, a rule that�s only tightened since the days of the financial crisis. That means that while Credit Suisse desperately needs to win customers� confidence, cut costs, and raise funds, the firm should be padded with enough cash to keep it moving for now.