UBS anticipates multibillion-dollar loss from Credit Suisse merger.

UBS estimates a financial hit of around $17 billion from its emergency takeover of Credit Suisse, according to a regulatory filing, and said the rushed deal may have affected its due diligence. The bank flagged a total negative impact of around $13 billion in fair value adjustments of the new combined entity's assets and liabilities, along with a potential $4 billion hit from litigation and regulatory costs. However, UBS also expects to offset this by booking a one-off $34.8 billion gain from so-called "negative goodwill," which refers to the acquisition of assets at a much lower cost than their true worth.