Litigation Said to Create Surprise Windfall For Deutsche Bank

By Eyk Henning and Steven Arons, Bloomberg News

Deutsche Bank AG’s legal issues haven’t all been one-way traffic.

The German lender, which has posted two consecutive annual losses amid rising misconduct fines, booked a surprise windfall of more than 100 million euros ($117 million) in the first half related to an out-of-court settlement with a former billionaire who had sued the bank’s wealth management unit Sal. Oppenheim, according to people familiar with the matter.

The gain, reflecting the release of provisions for the case, contributed to a fourfold jump in Deutsche Bank’s first-half profit to about 1 billion euros. Litigation provided ...