Deutsche Bank to restructure US operations

FRANKFURT, April 13 (Reuters): Deutsche Bank will change the legal status of its main US subsidiary to avoid having to endow it with up to $20 billion in fresh capital, the Wall Street Journal reported Wednesday. Citing an internal document at the bank, the Journal said that Deutsche Bank executives last year were concerned that US unit Taunus Corp would need that amount to comply with the Dodd-Frank financial reform law that Congress passed last year in the wake of the financial crisis. The restructuring would see Taunus give up its bank-holding company status, the paper cited unnamed sources as saying. Under the plan, presented to the Federal Reserve last year, its banking unit Deutsche Bank Trust Corp would be moved out of Taunus and become a direct subsidiary of the German lender, the paper said. Deutsche Bank's investment-banking business and several other nonbanking entities would continue to reside in Taunus, the paper said.