UBS AG (UBS) said Wednesday embattled Chairman Peter Kurer will step down in favor of a former member of Switzerland's governing Cabinet at the Swiss bank's April 15 shareholder meeting.

The announcement that retired Swiss politician Kaspar Villiger would replace Kurer marks the second major change atop the Swiss bank in less than a week. Last Thursday, in a surprise move, UBS said that former Credit Suisse Group Chief Executive Oswald Gruebel would replace Marcel Rohner as CEO of UBS with immediate effect.