[lbo-talk] Alas, poor Citibank!

[Carl Remick]

On 9/27/07, Doug Henwood <dhenwood at panix.com> wrote:
>
> On Sep 27, 2007, at 4:35 PM, Carl Remick wrote:
>
> > Walter Wriston?  Yeah, Wriston was real Mensa material and in a great
> > position to judge.  Wriston's most famous observation, speaking in
> > favor of sovereign-debt lending, was:  "Countries don't go out of
> > business."  As has been duly noted, countries can't go bankrupt, but those
> > who lend to them can.
>
> Yeah, poor Citibank. It used to be such a big bank.
>
> Doug

[Well, it will be itty-bitty Citi henceforth.  CEOs Walter Wriston,
Sanford Weill and Charles Prince -- myopic swashbucklers all.]

November 3, 2007
Citigroup Chief Is Set to Exit Amid Billions in Losses
By ERIC DASH and LANDON THOMAS Jr.

The embattled head of Citigroup, the global banking giant, has told
directors that he would resign from the bank after an emergency
meeting this weekend in the wake of a $5.9 billion write-down and
sharp drop in profit, people briefed on the situation said last night.

Charles O. Prince III, 57, the chairman and chief executive, took
responsibility for the bank's disappointing results and said it would
be better for the bank if he left, these people said. ...

Mr. Prince's exit will end a tumultuous four-year reign at the bank,
where he won over the board with an aggressive growth strategy but
failed to convince Wall Street investors and many of his own
employees. It will also set off a new round of calls to dismantle
Citigroup's sprawling empire. ...

His departure will be a blow to the legacy of Sanford I. Weill,
Citigroup's former chairman and founder who championed the idea of a
"financial services supermarket" that would bring consumer banking and
investment banking under one umbrella. Mr. Prince was his loyal
lieutenant and hand-picked successor. ...

<http://www.nytimes.com/2007/11/03/business/03bank.html?_r=1&hp&oref=slogin>

Carl