(February 22 – 12:15 ET) – The Financial Times is reporting that Credit Suisse First Boston has short-circuited a planned exodus from its bond department.

It was widely reported earlier this week that CSFB would lose about 30 professionals from its fixed-income side to rival Barclays Capital. The departure was widely cited as an indictment of CSFB’s US$12.2 billion acquisition of Donaldson, Lufkin and Jenrette last year, particularly as the deserters included long-time CSFB executives.

But today the FT is reporting that the firm has stepped up to the plate to keep the disgruntled group, which reportedly include John Walsh, the global head of debt capital markets, Donald Devine, the head of U.S. debt syndication and Jack DiMaio, global head of trading. None could be reached for comment, and neither firm commented.

The FT says, “It is understood that the bankers made their decision after CSFB offered to match Barclays’ offer. Although no financial details were available, the bid is likely to have included at least two years of guaranteed bonuses as well as a substantial increase in basic salaries.”
-IE Staff