Three Executives Leave JPMorgan

MEXICO CITY  – Three senior executives of JPMorgan Chase leaves. The media got the information from people familiar with the loss of at least 2.000 million for poor management of a portfolio of derivatives.

Ina Drew, who since 2005 has led the risk management unit, Achilles O. Macris, Chief Investment Office, and Javier Martín-Artajo,  general manager.

The firm’s chief executive, James Dimon, said the bank reacted badly to the so-called warning last month announcing that the agency had large trading losses in complex financial derivatives.

Dimon said the bank’s executives were “dead wrong” in public statements made in April, after being questioned for their actions on reports from the media.

“We got very defensive. And people began to justify everything we did. We said something that was completely wrong just four weeks,” Dimon said the program “Meet the Press” on NBC.

Dimon said Thursday that the bank had lost 2.000 million dollars or more for poor management of a portfolio of derivatives.

On Friday, Fitch Ratings downgraded the credit rating one notch from JPMorgan Chase to A+ from AA- following the announcement of the loss.

“Fitch believes that the size of the loss is manageable. That said, the magnitude of the loss and the evolution of these positions imply a lack of liquidity,” the agency said.

“It also raises questions concerning the risk appetite of JPMorgan, the framework for risk management, and monitoring practices, all key factors for the credit,” he added.

The rating agency also put JPMorgan in a negative light, implying that it would be a further reduction of the note in a period of six months.

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