Commerzbank, the German bank which posted its first ever loss in 2002, has made a comeback in the second quarter after heavy cost cutting and expects to end 2003 in the black.

Consolidated profits rose from just €3m in the first quarter to 2003 to €70m ($79.6m) in the second quarter. The increase was due in part to severe cost cutting as the bank has cut 4,300 staff since November 2002, and expects a further 1,850 jobs to go by the end of 2004. The bank took a restructuring charge of €104m in the first quarter 2003 but none in the second.