Citigroup seen taking $700 million in credit losses

Discussion in 'Wall St. News' started by Q12, Aug 11, 2007.

  1. Q12


    By Shawn Langlois, MarketWatch
    Last Update: 1:52 PM ET Aug 11, 2007

    SAN FRANCISCO (MarketWatch) -- Citigroup Inc. has reportedly lost more than $700 million in credit business in recent weeks, placing the world's biggest financial services firm high on the list of casualties from the market-roiling credit crunch.
    The losses are not a serious issue for a bank that pocketed more than $20 billion last year. The red ink, however, will be embarrassing for Citigroup's (C : Citigroup, Inc
    News , chart , profile , more
    Last: 47.00+0.10+0.21%

    Chairman and CEO Chuck Prince, undermining his efforts to restore investor confidence, according to a report from the Financial Times on Saturday.
    Prince told the FT last month that the lending party would end, but with so much liquidity that it wouldn't be disrupted by the U.S. subprime mortgage turmoil.
    The losses, which are in addition to those Citi faces from lending commitments to leveraged buyouts, were incurred mostly in the structured credit business run by Michael Raynes, who came over from Deutsche Bank in London last summer, the report said.
  2. selecto

    selecto Guest

  3. hahaha classic:)

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