Credit Suisse Group AG reported a $4.7 billion hit from the meltdown of Archegos Capital Management, slashed its dividends, and said its investment banking and risk chiefs would leave the bank.

Write to Margot Patrick at margot.patrick@wsj.com

Credit Suisse Group AG said Tuesday that it expects a pretax loss for the first quarter due to a charge connected to an issue involving a U.S.-based hedge fund, and that it will suspend its share-buyback program.

The Swiss bank said it expects a pretax loss for the first quarter of 900 million Swiss francs ($961.1 million). This includes a CHF4.4 billion charge connected to the failure by a U.S.-based hedge fund to meet its margin commitment, it said.

The bank said that this charge will negate the strong performance it had otherwise achieved in investment banking, wealth management and asset management.

Credit Suisse said it expects its first-quarter CET1 ratio to be at least 12%, while its tier 1 leverage ratio is anticipated being at least 5.4% for the quarter, and its CET1 leverage ratio projected to be at least 3.7%.

The bank’s share-buyback program will be suspended following completion of buybacks in the first quarter and won’t resume until the bank regains its target capital ratios and restores its dividend, it said.

Credit Suisse is set to report first-quarter results on April 22.

Write to Cecilia Butini at cecilia.butini@wsj.com


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